2006 New York Code - Obligation Of Sender To Pay Receiving Bank.

 
  Section 4-A-402. Obligation of Sender to Pay Receiving Bank.
    (1) This section is subject to Sections 4-A-205 and 4-A-207.
    (2)  With respect to a payment order issued to the beneficiary's bank,
  acceptance of the order by the bank obliges the sender to pay  the  bank
  the  amount  of the order, but payment is not due until the payment date
  of the order.
    (3) This subsection is  subject  to  subsection  (5)  and  to  Section
  4-A-303.  With  respect  to  a  payment order issued to a receiving bank
  other than the beneficiary's  bank,  acceptance  of  the  order  by  the
  receiving  bank  obliges  the  sender  to pay the bank the amount of the
  sender's order. Payment by the sender is not  due  until  the  execution
  date  of  the  sender's  order. The obligation of that sender to pay its
  payment order is excused if the  funds  transfer  is  not  completed  by
  acceptance  by  the  beneficiary's  bank  of a payment order instructing
  payment to the beneficiary of that sender's payment order.
    (4) If the sender of a payment  order  pays  the  order  and  was  not
  obliged  to  pay  all  or  part  of  the amount paid, the bank receiving
  payment is obliged to refund payment to the extent the  sender  was  not
  obliged  to  pay.  Except  as  provided in Sections 4-A-204 and 4-A-304,
  interest is payable on the refundable amount from the date of payment.
    (5) If a funds transfer is not completed as stated in  subsection  (3)
  and  an  intermediary  bank  is  obliged  to refund payment as stated in
  subsection (4)  but  is  unable  to  do  so  because  not  permitted  by
  applicable  law  or  because the bank suspends payments, a sender in the
  funds transfer that executed a  payment  order  in  compliance  with  an
  instruction,  as  stated  in  paragraph (a) of subsection (1) of Section
  4-A-302, to route the funds transfer through that intermediary  bank  is
  entitled  to  receive  or  retain payment from the sender of the payment
  order that it accepted. The first sender  in  the  funds  transfer  that
  issued  an  instruction requiring routing through that intermediary bank
  is subrogated to the right of the bank that paid the  intermediary  bank
  to refund as stated in subsection (4).
    (6)  The right of the sender of a payment order to be excused from the
  obligation to pay the order as stated in subsection (3)  or  to  receive
  refund under subsection (4) may not be varied by agreement.