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. § 4-405)
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§ 4—405. Death or incompetence of customer
(a) A payor or collecting bank’s authority to accept, pay, or collect an item or to account
for proceeds of its collection, if otherwise effective, is not rendered ineffective
by incompetence of a customer of either bank existing at the time the item is issued
or its collection is undertaken if the bank does not know of an adjudication of incompetence.
Neither death nor incompetence of a customer revokes the authority to accept, pay,
collect, or account until the bank knows of the fact of death or of an adjudication
of incompetence and has reasonable opportunity to act on it.
(b) Even with knowledge, a bank may for 10 days after the date of death pay or certify
checks drawn on or before that date unless ordered to stop payment by a person claiming
an interest in the account. (Added 1993, No. 158 (Adj. Sess.), § 13, eff. Jan. 1, 1995.)