{"data":{"id":"us-tn/tenn.-code-ann.-47-4a-203","jurisdiction":"us-tn","citation":"Tenn. Code Ann. § 47-4a-203","heading":"2024 Tennessee Code Title 47 - COMMERCIAL INSTRUMENTS AND TRANSACTIONS (§§ 47-1-101 — 47-50-121) Chapter 4A - FUNDS TRANSFERS (§§ 47-4A-101 — 47-4A-507) Part 2 - ISSUE AND ACCEPTANCE OF PAYMENT ORDER (§§ 47-4A-201 — 47-4A-212) Section 47-4A-203 - Unenforceability of certain verified payment orders","body":"(a) If an accepted payment order is not, under § 47-4A-202(a) , an authorized order of a customer identified as sender, but is effective as an order of the customer pursuant to § 47-4A-202(b) , the following rules apply: (1) By express written agreement, the receiving bank may limit the extent to which it is entitled to enforce or retain payment of the payment order; and (2) The receiving bank is not entitled to enforce or retain payment of the payment order if the customer proves that the order was caused, directly or indirectly, by a person: (i) Entrusted with duties to act for the receiving bank with respect to payment orders or the security procedure; or (ii) Who obtained access to communications facilities of the receiving bank or who obtained, from a source controlled by the receiving bank and without authority of the customer, information facilitating breach of the security procedure, regardless of how the information was obtained. Information includes any access device, computer software, or the like. (b) This section applies to amendments of payment orders to the same extent it applies to payment orders. Acts 1991, ch. 52, § 1.\n(a) If an accepted payment order is not, under § 47-4A-202(a) , an authorized order of a customer identified as sender, but is effective as an order of the customer pursuant to § 47-4A-202(b) , the following rules apply: (1) By express written agreement, the receiving bank may limit the extent to which it is entitled to enforce or retain payment of the payment order; and (2) The receiving bank is not entitled to enforce or retain payment of the payment order if the customer proves that the order was caused, directly or indirectly, by a person: (i) Entrusted with duties to act for the receiving bank with respect to payment orders or the security procedure; or (ii) Who obtained access to communications facilities of the receiving bank or who obtained, from a source controlled by the receiving bank and without authority of the customer, information facilitating breach of the security procedure, regardless of how the information was obtained. Information includes any access device, computer software, or the like.\n(1) By express written agreement, the receiving bank may limit the extent to which it is entitled to enforce or retain payment of the payment order; and\n(2) The receiving bank is not entitled to enforce or retain payment of the payment order if the customer proves that the order was caused, directly or indirectly, by a person: (i) Entrusted with duties to act for the receiving bank with respect to payment orders or the security procedure; or (ii) Who obtained access to communications facilities of the receiving bank or who obtained, from a source controlled by the receiving bank and without authority of the customer, information facilitating breach of the security procedure, regardless of how the information was obtained. Information includes any access device, computer software, or the like.\n(i) Entrusted with duties to act for the receiving bank with respect to payment orders or the security procedure; or\n(ii) Who obtained access to communications facilities of the receiving bank or who obtained, from a source controlled by the receiving bank and without authority of the customer, information facilitating breach of the security procedure, regardless of how the information was obtained. Information includes any access device, computer software, or the like.\n(b) This section applies to amendments of payment orders to the same extent it applies to payment orders.","path":["TN Code","Title 47","Chapter 4a"],"source_url":"https://oss-data-us.vaquill.ai/v2026.08/us_tn_statutes.parquet","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-17","retrieved_at":"2026-09-17T21:51:56Z","sha256":"86e343f2d1a7cd0eb83600e4e90f2966645543f4456726fca5e6c770a861cb2e","source_id":"us-tn","stale":false,"prev":"us-tn/tenn.-code-ann.-47-4a-202","next":"us-tn/tenn.-code-ann.-47-4a-204","notices":[{"id":"open-us-law","title":"Open US Law compilation","text":"Compilation CC BY 4.0, Open US Law (Vaquill AI). GroundRules uses only the releases published under CC BY 4.0: from v2026.09 the compilation is licensed CC BY-NC 4.0, and GroundRules does not use those releases. Each affected row names its release in its vintage label. GroundRules parsed and filtered the compilation to retain enacted text.","url":"https://huggingface.co/datasets/vaquill/open-us-law","license_url":"https://creativecommons.org/licenses/by/4.0/"},{"id":"pro-tn","title":"Tennessee Release 76 supplement","text":"Tennessee electronic product files were republished by Public.Resource.Org under a public-domain mark. GroundRules uses enacted text from Release 76 only as a labeled supplement to the newer Open US Law rows.","url":"https://archive.org/details/gov.tn.tca"}]},"notice":"GroundRules: Original legal text. Not legal advice."}