1. Any item in or coming into the possession of a payor or collecting bank that suspends payment and which item is not finally paid must be returned by the receiver, trustee, or agent in charge of the closed bank to the presenting bank or the closed bank's customer. 2. If a payor bank finally pays an item and suspends payments without making a settlement for the item with its customer or the presenting bank which settlement is or becomes final, the owner of the item has a preferred claim against the payor bank.
3. If a payor bank gives or a collecting bank gives or receives a provisional settlement for an item and thereafter suspends payments, the suspension does not prevent or interfere with the settlement becoming final if such finality occurs automatically upon the lapse of certain time or the happening of certain events. 4. If a collecting bank receives from subsequent parties settlement for an item which settlement is or becomes final and suspends payments without making a settlement for the item with its customer which is or becomes final, the owner of the item has a preferred claim against that collecting bank.
41-04-29. (4-301) Deferred posting - Recovery of payment by return of items - Time of dishonor - Return of items by payor bank. 1. If a payor bank settles for a demand item other than a documentary draft presented otherwise than for immediate payment over the counter before midnight of the banking day of receipt, the payor bank may revoke the settlement and recover any settlement if before it has made final payment and before its midnight deadline it: a. Returns the item. b. Sends written notice of dishonor or nonpayment if the item is unavailable for return. 2. If a demand item is received by a payor bank for credit on its books, it may return that item or send notice of dishonor and may revoke any credit given or recover the amount thereof withdrawn by its customer, if it acts within the time limit and in the manner specified in subsection 1. 3. Unless previous notice of dishonor has been sent, an item is dishonored at the time when for purposes of dishonor it is returned or notice sent under this section. 4. An item is returned: a. As to an item presented through a clearinghouse, when it is delivered to the presenting or last collecting bank or to the clearinghouse or is sent or delivered under clearinghouse rules. b. In all other cases, when it is sent or delivered to the bank's customer or transferor or under instructions.