Oregon Law
Law as of Jan 1, 2026
Chapter contents
74.500[Renumbered 165.655] 74.510[Renumbered 165.660] 74.520[Renumbered 165.665] 74.530[Renumbered 165.670] 74.540[Renumbered 165.675] 74.550[Renumbered 165.680] 74.1010Short title 74.1020Applicability 74.1030Variation by agreement; measure of damages; action constituting ordinary care 74.1040Definitions and index of definitions 74.1050“Bank”; “depositary bank”; “intermediary bank”; “collecting bank”; “payor bank”; “presenting bank.” 74.1060Payable through or payable at bank; collecting bank 74.1070Separate office of bank for computing time for actions, notices and orders 74.1080Time of receipt of items 74.1090Waiver of time limits; when delay excused 74.1110Statute of limitations 74.1120Electronic presentment 74.2010Status of collecting bank as agent and provisional status of credits; applicability of chapter; item indorsed “pay any bank.” 74.2020Responsibility for collection; when action timely 74.2030Effect of instructions 74.2040Methods of sending and presenting; presentment 74.2050Depositary bank as holder of unindorsed item 74.2060Transfer between banks 74.2070Warranties of customer and collecting bank on transfer of item; dishonor of item; remedies; when claim accrues 74.2080Presentment warranties; remedies; defenses; payment of dishonored draft; warranty disclaimer not applicable to checks; when warranty claim accrues 74.2090Encoding and retention warranties; remedies 74.2100Security interest of collecting bank in items; priority 74.2110Bank as holder in due course 74.2120Presentment by notice of item not payable by, through or at bank; liability of drawer or indorser 74.2130Medium and time of settlement by bank 74.2140Right of charge-back or refund; liability of collecting bank; return of item 74.2150Final payment of item by payor bank; when provisional debits and credits become final; when certain credits become available for withdrawal 74.2160Insolvency and preference 74.3010Deferred posting; recovery of payment by return of items; time of dishonor; return of items by payor bank 74.3020Payor bank’s responsibility for late return of item; defenses to liability of payor bank 74.3030When items subject to notice, stop payment order, legal process or setoff; order in which items may be charged or certified; cutoff hour for checks 74.4010When bank may charge customer’s account 74.4020Bank’s liability to customer for wrongful dishonor; time of determining insufficiency of account 74.4030Customer’s right to stop payment; duration of stop payment order; burden of proof of loss 74.4040Bank not obligated to pay check more than six months old 74.4050Death or incompetence of customer 74.4060Statements to customer; requirements; retaining copies of items; duty of customer to determine unauthorized payment; allocation of loss 74.4070Payor bank’s right to subrogation on improper payment 74.5010Handling of documentary drafts; duty to send for presentment and to notify customer of dishonor 74.5020Presentment of “on arrival” drafts 74.5030Responsibility of presenting bank for documents and goods; report of reasons for dishonor; referee in case of need 74.5040Privilege of presenting bank to deal with goods; security interest for expenses

Chapter 74 — Bank Deposits and Collections

ORS 74.3020 Payor bank’s responsibility for late return of item; defenses to liability of payor bank

(1)

Pursuant to ORS 74.2070 (1), if an item is presented to and received by a payor bank, the bank is accountable for the amount of:

(a)

A demand item, other than a documentary draft, whether properly payable or not, if the bank, in any case in which it is not also the depositary bank, retains the item beyond midnight of the banking day of receipt without settling for it or, whether or not it is also the depositary bank, does not pay or return the item or send notice of dishonor until after its midnight deadline; or

(b)

Any other properly payable item unless within the time allowed for acceptance or payment of that item the bank either accepts or pays the item or returns it and accompanying documents.

(2)

The liability of a payor bank to pay an item pursuant to subsection (1) of this section is subject to defenses based on breach of a presentment warranty under ORS 74.2080 or proof that the person seeking enforcement of the liability presented or transferred the item for the purpose of defrauding the payor bank.

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Version history

Prior statutory text is not available in the ingested published editions. Consult an earlier official ORS edition or the cited Oregon Laws chapter.