400.4-501. Handling of documentary drafts--duty to send for presentment and to notify customer of dishonor.
Handling of documentary drafts--duty to send for presentment and tonotify customer of dishonor.
400.4-501. A bank that takes a documentary draft forcollection shall present or send the draft and accompanyingdocuments for presentment and, upon learning that the draft hasnot been paid or accepted in due course, shall seasonably notifyits customer of the fact even though it may have discounted orbought the draft or extended credit available for withdrawal asof right.
(L. 1963 p. 503 § 4-501, A.L. 1992 S.B. 448)