Statute · California Commercial Code
Cal. Com. Code § 4204 — Collection of Items: Depositary and Collecting Banks
Cal. Com. Code § 4204
- Type
- Statute
- Source
- California Commercial Code
- Jurisdiction
- California
- Date
- 1993-01-01
- Current through
- Nov 2, 2026 (California Legislative Counsel)
(a) A collecting bank shall send items by reasonably prompt method, taking into consideration relevant instructions, the nature of the item, the number of those items on hand, the cost of collection involved, and the method generally used by it or others to present those items.
Citator
Cal. Com. Code § 4204 — Collection of Items: Depositary and Collecting Banks is in force in the current edition of the Code, and nothing recorded condemns it.
(a) A collecting bank shall send items by reasonably prompt method, taking into consideration relevant instructions, the nature of the item, the number of those items on hand, the cost of collection involved, and the method generally used by it or others to present those items.
(b) A collecting bank may send:
(1) An item directly to the payor bank.
(2) An item to a nonbank payor if authorized by its transferor.
(3) An item other than documentary drafts to a nonbank payor, if authorized by Federal Reserve regulation or operating circular, clearing house rule, or the like.
(c) Presentment may be made by a presenting bank at a place where the payor bank or other payor has requested that presentment be made.