2012 Pennsylvania Consolidated Statutes
Title 13 - COMMERCIAL CODE
Chapter 42 - Collection of Items: Depositary and Collecting Banks
Section 4205 - Depositary bank holder of unindorsed item

     § 4205.  Depositary bank holder of unindorsed item.
        If a customer delivers an item to a depositary bank for
     collection:
            (1)  the depositary bank becomes a holder of the item at
        the time it receives the item for collection if the customer
        at the time of delivery was a holder of the item, whether or
        not the customer indorses the item, and, if the bank
        satisfies the other requirements of section 3302 (relating to
        holder in due course), it is a holder in due course; and
            (2)  the depositary bank warrants to collecting banks,
        the payor bank or other payor, and the drawer that the amount
        of the item was paid to the customer or deposited to the
        customer's account.
     (July 9, 1992, P.L.507, No.97, eff. one year)