Maryland Statutes
Commercial Law
Title 4 - Bank Deposits and Collections

Subtitle 1 - General Provisions and Definitions

Section 4-101 - Short Title - This title may be cited as Uniform Commercial Code --...

Section 4-102 - Applicability - (a) To the extent that items within this title are...

Section 4-103 - Variation by Agreement; Measure of Damages; Action Constituting Ordinary Care - (a) The effect of the provisions of this title may...

Section 4-104 - Definitions and Index of Definitions - (a) In this title, unless the context otherwise requires: (1)...

Section 4-105 - "Bank"; "Depositary Bank"; "Payor Bank"; "Intermediary Bank"; "Collecting Bank"; "Presenting Bank" - In this title: (1) “Bank” means a person engaged in...

Section 4-106 - Payable Through or Payable at Bank; Collecting Bank - (a) If an item states that it is “payable through”...

Section 4-107 - Separate Office of a Bank - A branch or separate office of a bank is a...

Section 4-108 - Time of Receipt of Items - (a) For the purpose of allowing time to process items,...

Section 4-109 - Delays - (a) Unless otherwise instructed, a collecting bank in a good...

Section 4-110 - Electronic Presentment - (a) “Agreement for electronic presentment” means an agreement, clearing-house rule,...

Section 4-111 - Statute of Limitations - An action to enforce an obligation, duty, or right arising...

Subtitle 2 - Collection of Items: Depositary and Collecting Banks

Section 4-201 - Status of Collecting Bank as Agent and Provisional Status of Credits; Applicability of Title; Item Indorsed "Pay Any Bank" - (a) Unless a contrary intent clearly appears and before the...

Section 4-202 - Responsibility for Collection or Return; When Action Timely - (a) A collecting bank must exercise ordinary care in: (1)...

Section 4-203 - Effect of Instructions - Subject to Title 3 concerning conversion of instruments (§ 3-420)...

Section 4-204 - Methods of Sending and Presenting; Sending Directly to Payor Bank - (a) A collecting bank shall send items by a reasonably...

Section 4-205 - Depositary Bank Holder of Unindorsed Item - If a customer delivers an item to a depositary bank...

Section 4-206 - Transfer Between Banks - Any agreed method that identifies the transferor bank is sufficient...

Section 4-207 - Transfer Warranties - (a) A customer or collecting bank that transfers an item...

Section 4-208 - Presentment Warranties - (a) If an unaccepted draft is presented to the drawee...

Section 4-209 - Encoding and Retention Warranties - (a) A person who encodes information on or with respect...

Section 4-210 - Security Interest of Collecting Bank in Items, Accompanying Documents, and Proceeds - (a) A collecting bank has a security interest in an...

Section 4-211 - When Bank Gives Value for Purposes of Holder in Due Course - For purposes of determining its status as a holder in...

Section 4-212 - Presentment by Notice of Item Not Payable By, Through, or at Bank; Liability of Drawer or Indorser - (a) Unless otherwise instructed, a collecting bank may present an...

Section 4-213 - Medium and Time of Settlement by Bank - (a) With respect to settlement by a bank, the medium...

Section 4-214 - Right of Charge-Back or Refund; Liability of Collecting Bank; Return of Item - (a) If a collecting bank has made provisional settlement with...

Section 4-215 - Final Payment of Item by Payor Bank; When Provisional Debits and Credits Become Available for Withdrawal - (a) An item is finally paid by a payor bank...

Section 4-216 - Insolvency and Preference - (a) If an item is in or comes into the...

Subtitle 3 - Collection of Items; Payor Banks

Section 4-301 - Deferred Posting; Recovery of Payment by Return of Items; Time of Dishonor; Return of Items by Payor Bank - (a) If a payor bank settles for a demand item...

Section 4-302 - Payor Bank's Responsibility for Late Return of Item - (a) If an item is presented to and received by...

Section 4-303 - When Items Subject to Notice, Stop-Payment Order, Legal Process, or Setoff; Order in Which Items May Be Charged or Certified - (a) If any knowledge, notice, or stop-payment order received by,...

Subtitle 4 - Relationship Between Payor Bank and Its Customer

Section 4-401 - When Bank May Charge Customer's Account - (a) A bank may charge against the account of a...

Section 4-402 - Bank's Liability to Customer for Wrongful Dishonor; Time of Determining Insufficiency of Account - (a) Except as otherwise provided in this title, a payor...

Section 4-403 - Customer's Right to Stop Payment; Burden of Proof of Loss - (a) Any person authorized to draw on the account, if...

Section 4-404 - Bank Not Obligated to Pay Check More Than Six Months Old - A bank is under no obligation to a customer having...

Section 4-405 - Death or Incompetence of Customer - (a) A payor or collecting bank’s authority to accept, pay,...

Section 4-406 - Customer's Duty to Discover and Report Unauthorized Signature or Alteration; Comparative Fault - (a) A bank that sends or makes available to a...

Section 4-407 - Payor Bank's Right to Subrogation on Improper Payment - If a payor bank has paid an item over the...

Subtitle 5 - Collection of Documentary Drafts

Section 4-501 - Handling of Documentary Drafts; Duty to Send for Presentment and to Notify Customer of Dishonor - A bank that takes a documentary draft for collection shall...

Section 4-502 - Presentment of "On Arrival" Drafts - If a draft or the relevant instructions require presentment “on...

Section 4-503 - Responsibility of Presenting Bank for Documents and Goods; Report of Reasons for Dishonor; Referee in Case of Need - Unless otherwise instructed and except as provided in Title 5,...

Section 4-504 - Privilege of Presenting Bank to Deal With Goods; Security Interest for Expenses - (a) A presenting bank that, following the dishonor of a...