Fla. Stat. § 670.101
Short title
This chapter may be cited as the “Uniform Commercial Code—Funds Transfers.”
Florida Statutes Chapter 670 — UNIFORM COMMERCIAL CODE: FUNDS TRANSFERS
Florida · statute · Fla. Stat. ch. 670 · 39 active provisions
Fla. Stat. § 670.102
Subject matter
Except as otherwise provided in s. 670.108, this chapter applies to funds transfers defined in s. 670.104.
Fla. Stat. § 670.103
Payment order: definitions
(1) In this chapter, the term:(a) “Beneficiary” means the person to be paid by the beneficiary’s bank.(b) “Beneficiary’s bank” means the bank identified in a payment order in which an account of the beneficiary is to be credited pursuant to the order or which otherwise is to make payment to the beneficiary if the order…
Fla. Stat. § 670.104
Funds transfer: definitions
In this chapter, the term:(1) “Funds transfer” means the series of transactions, beginning with the originator’s payment order, made for the purpose of making payment to the beneficiary of the order. The term includes any payment order issued by the originator’s bank or an intermediary bank intended to carry out the or…
Fla. Stat. § 670.105
Other definitions
(1) In this chapter, the term:(a) “Authorized account” means a deposit account of a customer in a bank designated by the customer as a source of payment of payment orders issued by the customer to the bank. If a customer does not so designate an account, any account of the customer is an authorized account if payment o…
Fla. Stat. § 670.106
Time payment order is received
(1) The time of receipt of a payment order or communication canceling or amending a payment order is determined by the rules applicable to receipt of a notice stated in s. 671.209. A receiving bank may fix a cut-off time or times on a funds-transfer business day for the receipt and processing of payment orders and comm…
Fla. Stat. § 670.107
Federal Reserve regulations and operating circulars
Regulations of the Board of Governors of the Federal Reserve System and operating circulars of the Federal Reserve banks supersede any inconsistent provision of this chapter to the extent of the inconsistency.
Fla. Stat. § 670.108
Relationship to Electronic Fund Transfer Act
(1) Except as provided in subsection (2), this chapter does not apply to a funds transfer any part of which is governed by the Electronic Fund Transfer Act of 1978 (Title XX, Pub. L. No. 95-630, 92 Stat. 3728, 15 U.S.C. ss. 1693 et seq.), as amended from time to time.(2) This chapter applies to a funds transfer that is…
Fla. Stat. § 670.201
Security procedure
For purposes of this section, the term “security procedure” means a procedure established by agreement of a customer and a receiving bank for the purpose of:(1) Verifying that a payment order or communication amending or canceling a payment order is that of the customer; or(2) Detecting error in the transmission or the…
Fla. Stat. § 670.202
Authorized and verified payment orders
(1) A payment order received by the receiving bank is the authorized order of the person identified as sender if that person authorized the order or is otherwise bound by it under the law of agency.(2) If a bank and its customer have agreed that the authenticity of payment orders issued to the bank in the name of the c…
Fla. Stat. § 670.203
Unenforceability of certain verified payment orders
(1) If an accepted payment order is not, under s. 670.202(1), an authorized order of a customer identified as sender, but is effective as an order of the customer pursuant to s. 670.202(2), the following rules apply:(a) By express agreement evidenced by a record, the receiving bank may limit the extent to which it is e…
Fla. Stat. § 670.204
Refund of payment and duty of customer to report with respect to unauthorized payment order
(1) If a receiving bank accepts a payment order issued in the name of its customer as sender which is not authorized and not effective as the order of the customer under s. 670.202 or is not enforceable, in whole or in part, against the customer under s. 670.203, the bank shall refund any payment of the payment order r…
Fla. Stat. § 670.205
Erroneous payment orders
(1) If an accepted payment order was transmitted pursuant to a security procedure for the detection of error and the payment order erroneously instructed payment to a beneficiary not intended by the sender, erroneously instructed payment in an amount greater than the amount intended by the sender, or was an erroneously…
Fla. Stat. § 670.206
Transmission of payment order through funds-transfer system or other communication system
(1) If a payment order addressed to a receiving bank is transmitted to a funds-transfer system or other third-party communication system for transmittal to the bank, the system is deemed to be an agent of the sender for the purpose of transmitting the payment order to the bank. If there is a discrepancy between the ter…
Fla. Stat. § 670.207
Misdescription of beneficiary
(1) Subject to subsection (2), if, in a payment order received by the beneficiary’s bank, the name, bank account number, or other identification of the beneficiary refers to a nonexistent or unidentifiable person or account, no person has rights as a beneficiary of the order and acceptance of the order cannot occur.(2)…
Fla. Stat. § 670.208
Misdescription of intermediary bank or beneficiary’s bank
(1) This subsection applies to a payment order identifying an intermediary bank or the beneficiary’s bank only by an identifying number.(a) The receiving bank may rely on the number as the proper identification of the intermediary or beneficiary’s bank and need not determine whether the number identifies a bank.(b) The…
Fla. Stat. § 670.209
Acceptance of payment order
(1) Subject to subsection (4), a receiving bank other than the beneficiary’s bank accepts a payment order when it executes the order.(2) Subject to subsections (3) and (4), a beneficiary’s bank accepts a payment order at the earliest of the following times:(a) When the bank pays the beneficiary as stated in s. 670.405(…
Fla. Stat. § 670.21
Rejection of payment order
(1) A payment order is rejected by the receiving bank by a notice of rejection transmitted to the sender orally or in a record. A notice of rejection need not use any particular words and is sufficient if it indicates that the receiving bank is rejecting the order or will not execute or pay the order. Rejection is effe…
Fla. Stat. § 670.211
Cancellation and amendment of payment order
(1) A communication of the sender of a payment order canceling or amending the order may be transmitted to the receiving bank orally or in a record. If a security procedure is in effect between the sender and the receiving bank, the communication is not effective to cancel or amend the order unless the communication is…
Fla. Stat. § 670.212
Liability and duty of receiving bank regarding unaccepted payment order
If a receiving bank fails to accept a payment order that it is obliged by express agreement to accept, the bank is liable for breach of the agreement to the extent provided in the agreement or in this chapter, but does not otherwise have any duty to accept a payment order or, before acceptance, to take any action, or r…
Fla. Stat. § 670.301
Execution and execution date
(1) A payment order is “executed” by the receiving bank when it issues a payment order intended to carry out the payment order received by the bank. A payment order received by the beneficiary’s bank can be accepted but cannot be executed.(2) “Execution date” of a payment order means the day on which the receiving bank…
Fla. Stat. § 670.302
Obligations of receiving bank in execution of payment order
(1) Except as provided in subsections (2)-(4), if the receiving bank accepts a payment order pursuant to s. 670.209(1), the bank has the following obligations in executing the order:(a) The receiving bank is obliged to issue, on the execution date, a payment order complying with the sender’s order and to follow the sen…
Fla. Stat. § 670.303
Erroneous execution of payment order
(1) A receiving bank that executes the payment order of the sender by issuing a payment order in an amount greater than the amount of the sender’s order, or issues a payment order in execution of the sender’s order and then issues a duplicate order, is entitled to payment of the amount of the sender’s order under s. 67…
Fla. Stat. § 670.304
Duty of sender to report erroneously executed payment order
If the sender of a payment order that is erroneously executed as stated in s. 670.303 receives notification from the receiving bank that the order was executed or that the sender’s account was debited with respect to the order, the sender has a duty to exercise ordinary care to determine, on the basis of information av…
Fla. Stat. § 670.305
Liability for late or improper execution or failure to execute payment order
(1) If a funds transfer is completed but execution of a payment order by the receiving bank in breach of s. 670.302 results in delay in payment to the beneficiary, the bank is obliged to pay interest to either the originator or the beneficiary of the funds transfer for the period of delay caused by the improper executi…
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