(a) If an item is presented to and received by a payor bank, the bank is accountable for the amount of

Terms Used In Alaska Statutes 45.04.302

  • banking day: means that part of a day on which a bank is open to the public for carrying on substantially all of its banking functions. See Alaska Statutes 45.04.104
  • documentary draft: means a draft to be presented for acceptance or payment if specified documents, certificated securities under Alaska Stat. See Alaska Statutes 45.04.104
  • item: means an instrument or a promise or order to pay money handled by a bank for collection or payment. See Alaska Statutes 45.04.104
  • person: includes a corporation, company, partnership, firm, association, organization, business trust, or society, as well as a natural person. See Alaska Statutes 01.10.060
(1) a demand item, other than a documentary draft, whether properly payable or not, if the bank,

(A) in any case in which it is not also the depositary bank, retains the item beyond midnight of the banking day of receipt without settling for it; or
(B) whether or not it is also the depositary bank, does not pay or return the item or send notice of dishonor until after its midnight deadline; or
(2) any other properly payable item unless, within the time allowed for acceptance or payment of that item, the bank either accepts or pays the item or returns it and accompanying documents.
(b) The liability of a payor bank to pay an item under (a) of this section is subject to defenses based on breach of a presentment warranty under Alaska Stat. § 45.04.208 or proof that the person seeking enforcement of the liability presented or transferred the item for the purpose of defrauding the payor bank.
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