California Commercial Code

§ 4504

COM § 4504 Effective Jan 1, 1993Div. 4 · Ch. 5

Statute text

(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 subdivision (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.

Legislative history

Amended by Stats. 1992, Ch. 914, Sec. 50. Effective January 1, 1993.