Statutes > New York Statutes > UCC - Uniform Commercial Code > Article 4 - BANK DEPOSITS AND COLLECTIONS > Part 5 - (4-501 - 4-504) COLLECTION OF DOCUMENTARY DRAFTS > 4-501 - Handling of Documentary Drafts; Duty to Send for Presentment and to Notify Customer of Dishonor.

4-501 - Handling of Documentary Drafts; Duty to Send for Presentment and to Notify Customer of Dishonor.

Section 4--501. Handling   of  Documentary  Drafts;  Duty  to  Send  for                    Presentment and to Notify Customer of Dishonor.    A bank which takes a documentary draft for collection must present  or  send  the  draft  and  accompanying  documents  for presentment and upon  learning that the draft has not been paid or accepted in due course must  seasonably notify its customer of such fact  even  though  it  may  have  discounted  or  bought  the  draft  or  extended  credit  available  for  withdrawal as of right.