§ 6A-3-503 - Notice of dishonor.
SECTION 6A-3-503
§ 6A-3-503 Notice of dishonor. – (a) The obligation of an indorser stated in § 6A-3-415(a) and theobligation of a drawer stated in § 6A-3-414(d) may not be enforced unless(i) the indorser or drawer is given notice of dishonor of the instrumentcomplying with this section or (ii) notice of dishonor is excused under §6A-3-504(b).
(b) Notice of dishonor may be given by any person; may begiven by any commercially reasonable means, including an oral, written, orelectronic communication; and is sufficient if it reasonably identifies theinstrument and indicates that the instrument has been dishonored or has notbeen paid or accepted. Return of an instrument given to a bank for collectionis sufficient notice of dishonor.
(c) Subject to § 6A-3-504(c), with respect to aninstrument taken for collection by a collecting bank, notice of dishonor mustbe given (i) by the bank before midnight of the next banking day following thebanking day on which the bank receives notice of dishonor of the instrument, or(ii) by any other person within 30 days following the day on which the personreceives notice of dishonor. With respect to any other instrument, notice ofdishonor must be given within 30 days following the day on which dishonoroccurs.