Privilege of presenting bank to deal with goods; security interest for expenses

1. Law
2. Code of Virginia
3. Commercial Code - Bank Deposits and Collections
4. Sections
5. Privilege of presenting bank to deal with goods; security interest for expenses

(a) A presenting bank that, following the dishonor of a documentary draft, has seasonably requested instructions but does not receive them within a reasonable time may store, sell, or otherwise deal with the goods in any reasonable manner.

(b) For its reasonable expenses incurred by action under subsection (a), the presenting bank has a lien upon the goods or their proceeds, which may be foreclosed in the same manner as an unpaid seller's lien.

1964, c. 219; 1992, c. 693.

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