Common use of Processing, Transmittal, and Settlement by the Bank Clause in Contracts

Processing, Transmittal, and Settlement by the Bank. (i) Except as provided in Section 28.f. (on-us entries) and 28.g. (rejection of Entries; prefunding), the Bank shall: 1) process Entries received from Customer to conform with the file specifications set forth in Rules; 2) transmit such Entries as an Originating Depository Financial Institution (“ODFI”) to Federal Reserve Bank (the ACH) acting as an Automated Clearing House Operator; and 3) settle for such Entries as provided in the Rules. (ii) The Bank shall transmit or complete the necessary batch authorization of such ACH Entries by the Delivery Date deadline of the ACH prior to the Effective Entry Date shown in such Entries, provided (I) such Entries are received by the ACH Transactions Cut-Off set forth in Section 19 on a Business Day, (II) the Effective Entry Date is at least two (2) days after such Business Day, and (III) the ACH is open for business on such Business Day. Entries shall be deemed received by the Bank, in the case of transmittal by tape, when received by the Bank at the location set forth in this Agreement, and in the case of transmittal by electronic transmission, when the transmission (and compliance with any related security procedure provided for herein) is completed as provided by Section 28.d. (iii) If any of the requirements of clause (I), (II), (III) of Section 28.e.ii. is not met, the Bank shall use reasonable efforts to transmit such Entries to the ACH by the next deposit deadline of the ACH on the next Business Day.