Wisconsin Statutes & Annotations
Chapter 404 - Uniform commercial code — bank deposits and collections.
404.301 - Deferred posting; recovery of payment by return of items; time of dishonor; return of items by payer bank.

404.301 Deferred posting; recovery of payment by return of items; time of dishonor; return of items by payer bank.
(1) If a payer bank settles for a demand item other than a documentary draft presented otherwise than for immediate payment over the counter before midnight of the banking day of receipt, the payer bank may revoke the settlement and recover the settlement if, before it has made final payment and before its midnight deadline, it does any of the following:
(a) Returns the item.
(b) Sends written notice of dishonor or nonpayment if the item is unavailable for return.
(2) If a demand item is received by a payer bank for credit on its books, it may return the item or send notice of dishonor and may revoke any credit given or recover the amount thereof withdrawn by its customer, if it acts within the time limit and in the manner specified in sub. (1).
(3) Unless previous notice of dishonor has been sent, an item is dishonored at the time when for purposes of dishonor it is returned or notice sent in accordance with this section.
(4) An item is returned:
(a) As to an item presented through a clearinghouse, when it is delivered to the presenting or last collecting bank or to the clearinghouse or is sent or delivered in accordance with clearinghouse rules.
(b) In all other cases, when it is sent or delivered to the bank's customer or transferor or pursuant to instructions.
History: 1991 a. 304 s. 51; 1991 a. 316; 1995 a. 449.

Structure Wisconsin Statutes & Annotations

Wisconsin Statutes & Annotations

Chapter 404 - Uniform commercial code — bank deposits and collections.

404.102 - Applicability.

404.103 - Variation by agreement; measure of damages; action constituting ordinary care.

404.104 - Definitions and index of definitions.

404.105 - “ Bank"; “collecting bank"; “depository bank"; “intermediary bank"; “payer bank"; “presenting bank".

404.106 - Payable through or payable at bank; collecting bank.

404.107 - Separate office of a bank.

404.108 - Time of receipt of items.

404.109 - Delays.

404.110 - Electronic presentment.

404.111 - Statute of limitations.

404.201 - Status of collecting bank as agent and provisional status of credits; applicability of chapter; item endorsed “pay any bank".

404.202 - Responsibility for collection or return; when action timely.

404.203 - Effect of instructions.

404.204 - Methods of sending and presenting; sending directly to payer bank.

404.205 - Depositary bank holder of unendorsed item.

404.206 - Transfer between banks.

404.207 - Transfer warranties.

404.208 - Presentment warranties.

404.209 - Encoding and retention warranties.

404.210 - Security interest of collecting bank in items, accompanying documents and proceeds.

404.211 - When bank gives value for purposes of holder in due course.

404.212 - Presentment by notice of item not payable by, through or at a bank; liability of drawer or endorser.

404.213 - Medium and time of settlement by bank.

404.214 - Right of charge-back or refund; liability of collecting bank; return of item.

404.215 - Final payment of item by payer bank; when provisional debits and credits become final; when certain credits become available for withdrawal.

404.216 - Insolvency and preference.

404.301 - Deferred posting; recovery of payment by return of items; time of dishonor; return of items by payer bank.

404.302 - Payer bank's responsibility for late return of item.

404.303 - When items subject to notice, stop-payment order, legal process or setoff; order in which items may be charged or certified.

404.401 - When bank may charge customer's account.

404.402 - Bank's liability to customer for wrongful dishonor; time of determining insufficiency of account.

404.403 - Customer's right to stop payment; burden of proof of loss.

404.404 - Bank not obligated to pay check more than 6 months old.

404.405 - Death or incompetence of customer.

404.406 - Customer's duty to discover and report unauthorized signature or alteration.

404.407 - Payer bank's right to subrogation on improper payment.

404.501 - Handling of documentary drafts; duty to send for presentment and to notify customer of dishonor.

404.502 - Presentment of “on arrival" drafts.

404.503 - Responsibility of presenting bank for documents and goods; report of reasons for dishonor; referee in case of need.

404.504 - Privilege of presenting bank to deal with goods; security interest for expenses.