§ 25-4-502. Presentment of "on arrival" drafts.

§ 25‑4‑502. Presentment of "on arrival" drafts.

If a draft or the relevantinstructions require presentment "on arrival," "when goodsarrive" or the like, the collecting bank need not present until in itsjudgment a reasonable time for arrival of the goods has expired. Refusal to payor accept because the goods have not arrived is not dishonor; the bank mustnotify its transferor of the refusal but need not present the draft again untilit is instructed to do so or learns of the arrival of the goods. (1965,c. 700, s. 1; 1995, c. 232, s. 2.)