New York Laws
Part 2 - Collection of Items: Depositary and Collecting Banks
4-209 - When Bank Gives Value for Purposes of Holder in Due Course.


Course.

For purposes of determining its status as a holder in due course, the
bank has given value to the extent that it has a security interest in an
item provided that the bank otherwise complies with the requirements of
Section 3--302 on what constitutes a holder in due course.