The Vermont Statutes Online
The Statutes below include the actions of the 2025 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
(Cite as: 9A V.S.A. § 4-303)
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§ 4—303. When items subject to notice, stop-payment order, legal process, or setoff; order
in which items may be charged or certified
(a) Any knowledge, notice, or stop-payment order received by, legal process served upon,
or setoff exercised by a payor bank comes too late to terminate, suspend, or modify
the bank’s right or duty to pay an item or to charge its customer’s account for the
item if the knowledge, notice, stop-payment order, or legal process is received or
served and a reasonable time for the bank to act thereon expires or the setoff is
exercised after the earliest of the following:
(1) the bank accepts or certifies the item;
(2) the bank pays the item in cash;
(3) the bank settles for the item without having a right to revoke the settlement under
statute, clearing-house rule, or agreement;
(4) the bank becomes accountable for the amount of the item under section 4—302 of this title dealing with the payor bank’s responsibility for late return of items; or
(5) with respect to checks, a cutoff hour no earlier than one hour after the opening of
the next banking day after the banking day on which the bank received the check and
no later than the close of that next banking day or, if no cutoff hour is fixed, the
close of the next banking day after the banking day on which the bank received the
check.
(b) Subject to subsection (a) of this section, items may be accepted, paid, certified,
or charged to the indicated account of its customer in any order. (Added 1993, No. 158 (Adj. Sess.), § 13, eff. Jan. 1, 1995.)