New York Laws
Part 5 - Collection of Documentary Drafts
4-502 - Presentment of "On Arrival" Drafts.


When a draft or the relevant instructions require presentment "on
arrival", "when goods arrive" or the like, the collecting bank need not
present until in its judgment a reasonable time for arrival of the goods
has expired. Refusal to pay or accept because the goods have not arrived
is not dishonor; the bank must notify its transferor of such refusal but
need not present the draft again until it is instructed to do so or
learns of the arrival of the goods.