(a) A person who encodes information on or with respect to an item after issue warrants to any subsequent collecting bank and to the payor bank or other payor that the information is correctly encoded. If the customer of a depositary bank encodes, that bank also makes the warranty.
(b) A person who undertakes to retain an item pursuant to an agreement for electronic presentment warrants to any subsequent collecting bank and to the payor bank or other payor that retention and presentment of the item comply with the agreement. If a customer of a depositary bank undertakes to retain an item, that bank also makes this warranty.
(c) A person to whom warranties are made under this section and who took the item in good faith may recover from the warrantor as damages for breach of warranty an amount equal to the loss suffered as a result of the breach, plus expenses and loss of interest incurred as a result of the breach.
Structure West Virginia Code
Chapter 46. Uniform Commercial Code
Article 4. Bank Deposits and Collections
§46-4-103. Variation by Agreement; Measure of Damages; Action Constituting Ordinary Care
§46-4–104. Definitions and Index of Definitions
§46-4-106. Payable Through or Payable at Bank; Collecting Bank
§46-4-107. Separate Office of a Bank
§46-4-108. Time of Receipt of Items
§46-4-110. Electronic Presentment
§46-4-111. Statute of Limitations
§46-4-202. Responsibility for Collection or Return; When Action Timely
§46-4-203. Effect of Instructions
§46-4-204. Methods of Sending and Presenting; Sending Directly to Payor Bank
§46-4-205. Depositary Bank Holder of Unindorsed Item
§46-4-206. Transfer Between Banks
§46-4-207. Transfer Warranties
§46-4-208. Presentment Warranties
§46-4-209. Encoding and Retention Warranties
§46-4-210. Security Interest of Collecting Bank in Items, Accompanying Documents and Proceeds
§46-4-211. When Bank Gives Value for Purposes of Holder in Due Course
§46-4-213. Medium and Time of Settlement by Bank
§46-4-214. Right of Charge-Back or Refund; Liability of Collecting Bank; Return of Item
§46-4-216. Insolvency and Preference
§46-4-302. Payor Bank's Responsibility for Late Return of Item
§46-4-401. When Bank May Charge Customer's Account
§46-4-403. Customer's Right to Stop Payment; Burden of Proof of Loss
§46-4-404. Bank Not Obligated to Pay Check More Than Six Months Old
§46-4-405. Death or Incompetence of Customer
§46-4-406. Customer's Duty to Discover and Report Unauthorized Signature or Alteration
§46-4-407. Payor Bank's Right to Subrogation on Improper Payment
§46-4-502. Presentment of &Quot;on Arrival" Drafts
§46-4-504. Privilege of Presenting Bank to Deal With Goods; Security Interest for Expenses