(1) Presents or forwards the check for collection, settlement is final when the check is finally paid; or
(2) Fails to present or forward the check for collection, settlement is final at the midnight deadline of the person receiving settlement.
Source: L. 94: Entire article amended with relocations, p. 892, § 2, effective January 1, 1995.
Editor's note: This section is similar to former § 4-4-211 as it existed prior to 1994, and the former § 4-4-213 was relocated to § 4-4-215.
With respect to settlement by tender of authority to charge the account of the bank making settlement in the bank receiving settlement, subsection (d) provides that final settlement does not take place until the account charged has available funds to cover the amount of the item. If there is no agreement that permits the bank tendering settlement to tender an authority to charge an account as settlement, subsection (b) allows the bank receiving the tender to reject it. However, if the bank accepts the authority, settlement occurs and the time of final settlement is governed by subsection (d).
Structure Colorado Code
Title 4 - Uniform Commercial Code
Article 4 - Bank Deposits and Collections
Part 2 - Collection of Items - Depositary and Collecting Banks
§ 4-4-202. Responsibility for Collection or Return - When Action Timely
§ 4-4-203. Effect of Instructions
§ 4-4-204. Methods of Sending and Presenting - Sending Directly to Payor Bank
§ 4-4-205. Depositary Bank Holder of Unindorsed Item
§ 4-4-206. Transfer Between Banks
§ 4-4-207. Transfer Warranties
§ 4-4-208. Presentment Warranties
§ 4-4-209. Encoding and Retention Warranties
§ 4-4-210. Security Interest of Collecting Bank in Items, Accompanying Documents, and Proceeds
§ 4-4-211. When Bank Gives Value for Purposes of Holder in Due Course
§ 4-4-213. Medium and Time of Settlement by Bank
§ 4-4-214. Right of Charge-Back or Refund - Liability of Collecting Bank - Return of Item