(a) Unless otherwise instructed, a collecting bank in a good faith effort to secure payment of a specific item drawn on a payor other than a bank, and with or without the approval of any person involved, may waive, modify, or extend time limits imposed or permitted by this chapter for a period not exceeding two additional banking days without discharge of drawers or indorsers or liability to its transferor or a prior party.
(b) Delay by a collecting bank or payor bank beyond time limits prescribed or permitted by this chapter or by instructions is excused if (i) the delay is caused by interruption of communication or computer facilities, suspension of payments by another bank, war, emergency conditions, failure of equipment, or other circumstances beyond the control of the bank, and (ii) the bank exercises such diligence as the circumstances require.
HISTORY: 1962 Code Section 10.4-109; 1966 (54) 2716; 2008 Act No. 204, Section 3, eff July 1, 2008.
Structure South Carolina Code of Laws
Chapter 4 - Commercial Code - Bank Deposits And Collections
Section 36-4-101. Short title.
Section 36-4-102. Applicability
Section 36-4-103. Variation by agreement; measure of damages; action constituting ordinary care.
Section 36-4-104. Definitions and index of definitions.
Section 36-4-105. Definitions of types of banks.
Section 36-4-106. Payable through or payable at bank; collecting bank.
Section 36-4-107. Separate office of bank.
Section 36-4-108. Time of receipt of items.
Section 36-4-110. Electronic presentment.
Section 36-4-111. Statute of limitations.
Section 36-4-202. Responsibility for collections or return; when action timely.
Section 36-4-203. Effect of instructions.
Section 36-4-204. Methods of sending and presenting; sending directly to payor bank.
Section 36-4-205. Depositary bank holder of unindorsed item.
Section 36-4-206. Transfer between banks.
Section 36-4-207. Transfer warranties.
Section 36-4-208. Presentment warranties.
Section 36-4-209. Encoding and retention warranties.
Section 36-4-211. When bank gives value for purposes of holder in due course.
Section 36-4-213. Medium and time of settlement by bank.
Section 36-4-214. Right of charge-back or refund; liability of collecting bank; return of item.
Section 36-4-216. Insolvency and preference.
Section 36-4-302. Payor bank's responsibility for late return of item.
Section 36-4-401. When bank may charge customer's account.
Section 36-4-403. Customer's right to stop payment; burden of proof of loss.
Section 36-4-404. Bank not obliged to pay check more than six months old.
Section 36-4-405. Death or incompetence of a customer.
Section 36-4-406. Customer's duty to discover and report unauthorized signature or alteration.
Section 36-4-407. Payor bank's right to subrogation on improper payment.
Section 36-4-502. Presentment of "on arrival" drafts.
Section 36-4-504. Privilege of presenting bank to deal with goods; security interest for expenses.