Subject to the provisions of Article 3 concerning conversion of
instruments (Section 3--419) and the provisions of both Article 3 and
this Article concerning restrictive indorsements only a collecting
bank's transferor can give instructions which affect the bank or
constitute notice to it and a collecting bank is not liable to prior
parties for any action taken pursuant to such instructions or in
accordance with any agreement with its transferor.
Structure New York Laws
Article 4 - Bank Deposits and Collections
Part 2 - Collection of Items: Depositary and Collecting Banks
4-202 - Responsibility for Collection; When Action Seasonable.
4-203 - Effect of Instructions.
4-204 - Methods of Sending and Presenting; Sending Direct to Payor Bank.
4-205 - Supplying Missing Indorsement; No Notice From Prior Indorsement.
4-206 - Transfer Between Banks.
4-208 - Security Interest of Collecting Bank in Items, Accompanying Documents and Proceeds.
4-209 - When Bank Gives Value for Purposes of Holder in Due Course.
4-211 - Media of Remittance; Provisional and Final Settlement in Remittance Cases.