US Laws, Codes, Statutes & Cases

      Sec. 42a-4-504. Privilege of presenting bank to deal with goods; security interest for expenses. (a) A presenting bank that, following the dishonor of a documentary draft, has seasonably requested instructions but does not receive them within a reasonable time may store, sell, or otherwise deal with the goods in any reasonable manner.

      (b) For its reasonable expenses incurred by action under subsection (a), the presenting bank has a lien upon the goods or their proceeds, which may be foreclosed in the same manner as an unpaid seller's lien.

      (1959, P.A. 133, S. 4-504; P.A. 91-304, S. 107.)

      History: P.A. 91-304 made a minor change in wording and replaced numeric with alphabetic Subsec. indicators.