Wrongful Honor. It shall constitute wrongful honor by Bank if Bank pays an Exception Item marked as “return” listed in an Exception Decision delivered prior to the Bank’s designated Cut- off. In the event there is wrongful honor:
Wrongful Honor. It shall constitute wrongful honor by Bank if Bank pays an Exception Check listed in a timely Exception Check Report unless: (a) Company issued a Pay Request, or (b) Company selected the pay default option and did not issue a Return Request. In the event that there is wrongful honor, Bank shall be liable to Company for the lesser of the amount of the wrongfully paid Exception Check or Company’s actual damages resulting from Bank’s payment of the Exception Check. Bank retains the right to assert Company’s failure to exercise reasonable care under U.C.C. sections 3-406(a) and 4-406(c). Bank retains the right to assert the defense that Company has sustained no actual damages because Bank’s honor of the Exception Check discharged for value an indebtedness of Company.
Wrongful Honor. It shall constitute wrongful honor by Bank if Bank pays an Exception Check listed in a timely Exception Check Report unless Customer issued a Pay Decision by the deadline set forth in Schedule A. In the event that there is wrongful honor, the following shall apply:
Wrongful Honor. It shall constitute wrongful honor by the Bank if the Bank pays an Exception Check submitted in a timely and un-revoked Positive Pay Return Items File submitted in accordance with this Agreement. In the event that there is wrongful honor the Bank may, subject to the defenses set forth in this Agreement, be liable to the Customer for the lesser of the amount of the wrongfully paid Exception Check or the Customer’s actual damages resulting from the Bank’s payment of the Exception Check, but for no other damages suffered as a result of the wrongful honor. Notwithstanding the improper payment of an Exception Check, the Bank expressly reserves the right to assert that the Customer is liable for the amount of the wrongfully honored Exception Check on the grounds that the Exception Check was properly payable under Section 4-401(a). The Bank retains the right to assert the Customer's failure to exercise reasonable care under Sections 3-406(a) and 4-406(c). The Bank’s improper payment shall not in and of itself constitute a failure of the Bank to have exercised ordinary care under the loss allocation provisions of Sections 3-406(b) and 4-406(e). The Bank retains the right to assert the defense that the Customer has sustained no actual damages because the Bank's honor of the Exception Check discharged for value an indebtedness of the Customer.
Wrongful Honor. It shall not constitute wrongful honor by FI if FI pays an Exception Item listed in an Exception Item report timely provided and received by the Company and: (a) Company issued a “pay” decision; or (b) Company selected the pay “default decision” and did not issue a “return” decision. In the event that an item is wrongfully honored, FI’s liability to Company shall be limited to the lesser of the amount of the wrongfully honored Exception Item or the Company’s actual damages resulting from the FI’s payment of the Exception Item. FI retains the right to assert the Company’s failure to exercise reasonable care under UCC sections 3-406(b) and 4-406(c) as such provisions are codified in the State of Washington, or similar provisions and retains the right to assert that Company has sustained no actual damages because the FI’s wrongful honor of the Exception Item discharged for value an indebtedness of the Company.
Wrongful Honor. It will be wrongful honor by us if we honor: (a) a Suspect Item and we have received a timely Return Request Disposition Instruction for that item from you; or (b) a Suspect Item when no disposition instruction was received regarding the item and your Payment Default Option is “Return All.” If there is wrongful honor, we will be liable to you for the lesser of the amount of the wrongfully paid item or the actual damages you suffer from our payment of the item. However, if payment of the item discharges an indebtedness or obligation of yours and because of this you have no actual damages or reduced damages, then you agree that our liability to you is reduced to the same extent. Our liability may also be limited by other provisions of these Terms or this Agreement.
Wrongful Honor. It will constitute wrongful honor by us if we pay an Exception Check listed in a timely Exception File contrary to a timely and properly submitted Decision. If there is wrongful honor: (a) We will be liable to you only for the amount of the wrongfully paid Exception Check or your actual damages resulting from our payment of the Exception Check, which ever amount is less; (b)We retain the right to assert that you failed to exercise reasonable care under the UCC; and (c) We retain the right to assert the defense that you have sustained no actual damages because our honor of the Exception Check discharged for value an indebtedness of yours or any other defense available to us under the UCC, this Agreement or otherwise.
Wrongful Honor. It shall constitute wrongful honor by the Bank to pay an Exception Check that was listed in a timely Exception Check List and which you rejected in a timely Pay/Return Request. In the event that there is wrongful honor, the Bank shall be liable to you for the lesser of the amount of the wrongfully paid Exception Check or your actual damages resulting from the Bank’s payment of the Exception Check. The Bank retains all rights and remedies related to any wrongful honor. Wrongful Dishonor. Except as provided in this section, it shall constitute wrongful dishonor by the Bank to dishonor an Exception Check you approved in a timely Pay/Return Request. We will have no liability to you for wrongful dishonor when we, acting in good faith, return an Exception Check: (i) we reasonably believed was not properly payable; (ii) because there are insufficient Available Funds on deposit in the Authorized Account; or (iii) because we are required to do so by the service of legal process on us or the instructions of regulatory or government authorities or courts. Rightful Payment and Dishonor. Except as provided in the Faulty Information section of this Agreement: (i) If we dishonor an Exception Check because you rejected the Exception Check in a Pay/Return Request, the dishonor shall be rightful, and you waive any right it may have to assert that the dishonor was wrongful; and (ii) you agree that we exercise ordinary care whenever we rightfully pay or return an Exception Check consistent with the provisions of the Agreement. Faulty Information. The Bank shall be liable for direct losses caused by its honor of a check that was not properly payable, or its dishonor of a check that was properly payable, if the honor or dishonor occurred because the Bank, in accordance with this Agreement, (a) should have shown the check on an Exception Check Report but failed to do so; or (b) showed the check on an Exception Check Report but referenced the wrong check number, unless the Bank provided you with timely information that disclosed the error. Sufficient Funds. You will maintain sufficient Available Funds in the Authorized Account to cover the aggregate debits made from the Authorized Account. If sufficient funds are not available the Bank may, in its sole discretion, either (a) reject any checks or other debit items drawn on the Authorized Account or (b) accept any checks or other debit items drawn on any Authorized Account, even if such acceptance would bring the Authorized Account...
Wrongful Honor. It shall constitute wrongful honor by Bank to pay an Exception Check that was listed in a timely Exception Check List and which you rejected in a timely Pay/Return Request. In the event that there is wrongful honor: (i) Bank shall be liable to you for the lesser of the amount of the wrongfully paid Exception Check or your actual damages resulting from Bank’s payment of the Exception Check; (ii) Bank retains the right to assert your failure to exercise reasonable care; and (iii.) Bank retains the right to assert the defense that you has sustained no actual damages because Bank’s honor of the Exception Check discharged for value your indebtedness.
Wrongful Honor. It shall constitute wrongful honor by Bank if it pays an Exception Check contrary to Section 4 above. In connection with any wrongful honor, Bank retains all defenses, including the right to assert Customer's failure to exercise reasonable care under UCC sections 3-406(a) and 4-406(c). Bank also retains the right to assert the defense that Customer has sustained no actual damages because Bank's honor of the Exception Check discharged for value an indebtedness of Customer.
