{"data":{"id":"us-ky/krs-355.4-503","jurisdiction":"us-ky","citation":"KRS 355.4-503","heading":"Responsibility of presenting bank for documents and goods -- Report of","body":"reasons for dishonor -- Referee in case of need.\nUnless otherwise instructed and except as provided in Article 5 of this chapter, a bank\npresenting a documentary draft:\n(1) Must deliver the documents to the drawee on acceptance of the draft if it is payable\nmore than three (3) days after presentment; otherwise, only on payment; and\n(2) Upon dishonor, either in the case of presentment for acceptance or presentment for\npayment, may seek and follow instructions from any referee in case of need\ndesignated in the draft or, if the presenting bank does not choose to utilize the\nreferee's services, it must use diligence and good faith to ascertain the reason for\ndishonor, must notify its transferor of the dishonor and of the results of its efforts to\nascertain the reasons therefor, and must request instructions.\nHowever, the presenting bank is under no obligation with respect to goods represented by\nthe documents except to follow any reason able instructions seasonably received; it has a\nright to reimbursement for any expense incurred in following instructions and to\nprepayment of or indemnity for those expenses.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=33553","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:58:45Z","sha256":"cb7aaba5d2d1d225f06f9d0a4bc1650cd5bed983232fb70a10421c3e716b87e7","source_id":"us-ky","stale":false,"prev":"us-ky/krs-355.4-502","next":"us-ky/krs-355.4-504"},"notice":"GroundRules: Original legal text. Not legal advice."}