skip navigation


U.C.C. - ARTICLE 4 - BANK DEPOSITS AND COLLECTIONS
..PART 1. GENERAL PROVISIONS AND DEFINITIONS

§ 4-106. PAYABLE THROUGH OR PAYABLE AT BANK; COLLECTING BANK.

  • (a) If an item states that it is "payable through" a bank identified in the item, (i) the item designates the bank as a collecting bank and does not by itself authorize the bank to pay the item, and (ii) the item may be presented for payment only by or through the bank.
  • Alternative A
  • (b) If an item states that it is "payable at" a bank identified in the item, the item is equivalent to a draft drawn on the bank.
  • Alternative B
  • (b) If an item states that it is "payable at" a bank identified in the item, (i) the item designates the bank as a collecting bank and does not by itself authorize the bank to pay the item, and (ii) the item may be presented for payment only by or through the bank.
  • (c) If a draft names a nonbank drawee and it is unclear whether a bank named in the draft is a co-drawee or a collecting bank, the bank is a collecting bank.
previous section | next section
overview
notes

© Copyright 2005 by The American Law Institute and the National Conference of Commissioners on Uniform State Laws; reproduced, published and distributed with the permission of the Permanent Editorial Board for the Uniform Commercial Code for the limited purposes of study, teaching, and academic research.