HRS 0490-0004-0212 ANNOTATIONS

Prior Uniform Statutory Provision: None.

1. This section codifies a practice extensively followed in presentation of trade acceptances and documentary and other drafts drawn on non-bank payors. It imposes a duty on the payor to respond to the notice of the item if the item is not to be considered dishonored. Notice of such a dishonor charges parties secondarily liable. Presentment under this Section is good presentment under Article 3. See Section 3-504(5).

2. A drawee not receiving notice is not, of course, liable to the drawer for wrongful dishonor.

3. A bank so presenting an instrument must be sufficiently close to the drawee to be able to exhibit the instrument on the day it is requested to do so or the next business day at the latest.

Sections 3-501 through 3-508, 4-501 and 4-502.

"Acceptance". Section 3-410.

"Banking day". Section 4-104.

"Collecting bank". Section 4-105.

"Item". Section 4-104.

"Party". Section 1-201.

"Presentment". Section 3-504.

"Secondary party". Section 3-102.

"Send". Section 1-201.