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us-gu · Through P.L. 38-133 (June 4, 2026)

13 GCA § 4402: Bank's Liability to Customer for Wrongful Dishonor.

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Where this section sits in the code
  1. Title 13: Uniform Commercial Code
  2. Division 4: Bank Deposits and Collections
  3. CHAPTER 4: RELATIONSHIPS BETWEEN PAYOR BANK AND ITS CUSTOMER

A payor bank is liable to its customer for damages proximately caused by the wrongful dishonor of an item. When the dishonor occurs through mistake liability is limited to actual damages proved. If so proxi-mately caused and proved, damages may include damages for an arrest or prosecution of the customer or other consequential damages. Whether any consequential damages are proximately caused by the wrongful dishonor is a question of fact to be determined in each case.

Collected 2026-09-27T03:28:08Z. Source file · JSON

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