Common use of Unauthorized Check Transactions Clause in Contracts

Unauthorized Check Transactions. If your negligence contributes to a check being altered, changed or forged, we will not be responsible if we pay the check in good faith and in accordance with the reasonable commercial standards of our business. If anyone disputes the payment of a check because it was altered, changed, forged, bore an unauthorized signature or was otherwise improper, we may not credit the amount to your account until the dispute has been resolved. We will have a reasonable period of time to investigate the facts and circumstances surrounding any claim of loss. Unless a law, rule or regulation provides otherwise, such a claim is deemed not to have been made until submitted in writing to us. You agree to fully cooperate in our investigation of such a claim. Your cooperation may include among other things, at the Bank’s discretion: (1) a requirement that you submit a declaration under penalty of perjury describing your claim; (2) a report filed with the appropriate police and/or investigatory authority; (3) promptly providing documentation in support of your claim that the Bank requests; and (4) making a claim against any insurance coverage that you might carry, including for claims arising from employee fraud or embezzlement. Any failure to cooperate in the Bank’s investigation may result in our decision not to honor your claim. We may, although we are not required to do so, provisionally credit your account pending the final outcome of the investigation. If we determine, in our sole discretion, that the debit to your account was not improper, then we may reverse any provisional credit made to your account. We will not be liable for special or consequential damages, including loss of profits or opportunity, or for attorneys’ fees incurred by you to recover your loss against the person responsible and you agree to indemnify and hold us harmless from any such losses. In the event that we reimburse your loss, you agree that you will not waive any rights you have to recover your loss against anyone who is obligated to repay, insure, or otherwise reimburse you for your loss. You will pursue your rights or, at our option, assign them to us so that we may pursue them. Our liability will be reduced by the amount you recover or are entitled to recover from these other sources, including insurance coverage. At our request, you will provide us with all reasonable information about your insurance coverage, including the name of your insurance carrier, policy number, policy limits, applicable deductibles, and/or assignment of rights under the policy. You waive all rights to subrogation against us with respect to any insurance policy or bond. Checks Bearing Notations You agree not to print, or other otherwise present, checks, withdrawal orders or other items with special limitations, including when drawn on your account. Examples of special limitations include, but are not limited to, “void over $100,” “two signatures required,” “paid in full” or “void after 90 days.” If you do print, or otherwise present, checks, withdrawal orders or other items with any special limitations, you agree that we are not bound by such limitations. You authorize us, but we will not be obligated, to pay such items, or take them for deposit, without regard to the stated limitation(s). You further agree to indemnify us and hold us harmless for any claims or losses arising out of our refusal to honor said restrictions. In no event will we be liable for our refusal to honor the special limitations, whether or not we previously honored them. If you cash or deposit an item or write a check with such a notation, you agree that it applies only between you and the payee or maker and you agree to accept responsibility for payment of the item.

Unauthorized Check Transactions. If your negligence contributes to you discover a check being alteredforgery, changed alteration or forgedother unauthorized transaction involving your account, you must promptly notify Proponent in writing of the relevant facts. You agree to maintain a current check register and to review carefully and promptly all statements and notices we send to you. You agree that, if you receive our check truncation service, your statements will be deemed to provide sufficient information about your checks for you to determine whether any payment was not be responsible authorized because of an alteration or unauthorized signature if we pay they provide the check in good faith number, amount and in accordance with the reasonable commercial standards date of our businesspayment. If anyone disputes you fail to notify us within a reasonable time (not exceeding 30 days after we mail or deliver the payment item or statement to you) of a check because it was altered, changed, forged, bore an unauthorized signature or was otherwise impropertransaction, we may not be responsible for subsequent forgeries or alterations by the same wrongdoer. Without regard to care or lack of care of either you or us, if you do not discover and report a check forgery, alteration or other unauthorized transaction within six months after your statement or the item is made available to you, you are precluded from asserting the unauthorized transaction against us. If you claim a credit or refund because of an unauthorized transaction, you agree to provide us with a declaration containing whatever reasonable information we require regarding your account, the amount transaction, and the circumstances surrounding the claimed loss. You also agree to your account until make a report to the dispute has been resolvedpolice and to provide us with a copy of the report, upon request. We will have a reasonable period of time to investigate the facts and circumstances surrounding any claim of claimed loss. Unless a lawDuring our investigation, rule or regulation provides otherwise, such a claim is deemed not we will have no obligation to have been made until submitted in writing to usprovisionally credit your account. You agree to fully cooperate in our investigation Our maximum liability will never exceed the amount of such a claimactual damages proven by you. Your cooperation may include among other things, at the Bank’s discretionOur liability will be reduced: (1i) a requirement by the amount of the loss that you submit a declaration under penalty is caused by your own negligence and lack of perjury describing your claim; (2) a report filed with the appropriate police and/or investigatory authority; (3) promptly providing documentation in support of your claim that the Bank requestscare; and (4ii) making a claim against to the extent that damages could not have been avoided by our exercise of ordinary care; and (iii) by any insurance coverage that loss recovery you might carry, including for claims arising obtain from employee fraud or embezzlement. Any failure third parties (applied first to cooperate in the Bank’s investigation may result in reduce our decision not obligations to honor your claimyou). We may, although we are not liable for any items that are forged or altered in such a way that we cannot reasonably detect the forgery or alteration. Unless otherwise required to do soby law, provisionally credit your account pending the final outcome of the investigation. If we determine, in our sole discretion, that the debit to your account was not improper, then we may reverse any provisional credit made to your account. We will not be liable for incidental, special or consequential damages, including loss of profits or opportunity, and/or opportunity or for attorneys’ attorney’s fees incurred by you to recover your loss against you, even if we were aware of the person responsible and you possibility of such damages. You agree to indemnify and hold us harmless from any such losses. In the event that we reimburse your loss, you agree that you will not waive any pursue all rights you may have under any insurance policy you maintain in connection with any loss associated with your account and to recover your loss against anyone who is obligated to repay, insure, or otherwise reimburse you for your loss. You will pursue your rights or, at our option, assign them to provide us so that we may pursue themwith information regarding coverage. Our liability will be reduced by the amount of any insurance proceeds you recover receive or are entitled to recover from these other sources, including insurance coveragereceive in connection with the loss. At our requestIf we reimburse you for a loss and the loss is covered by insurance, you will provide agree to assign us with all reasonable information about your insurance coverage, including the name of your insurance carrier, policy number, policy limits, applicable deductibles, and/or assignment of rights under the policy. You waive all rights to subrogation against us with respect to any insurance policy or bondto the extent of our reimbursement. Checks Bearing Notations You agree not to printWhen you report missing, stolen, or other otherwise present, unauthorized checks, withdrawal orders or other items with special limitations, including when drawn on we may recommend that you close your account. Examples of special limitations include, but are not limited to, “void over $100,” “two signatures required,” “paid in full” or “void after 90 days.” If you do print, or otherwise present, checks, withdrawal orders or other items with any special limitations, you agree that we are not bound by such limitations. You authorize us, but we will not be obligated, to pay such items, or take them for deposit, without regard to the stated limitation(s). You further agree to indemnify us current account and hold us harmless for any claims or losses arising out of our refusal to honor said restrictions. In no event will we be liable for our refusal to honor the special limitations, whether or not we previously honored themopen a new one. If you cash or deposit an item or write open a check with such a notationnew account, you agree must notify all third parties that it applies only between need to know your account number. If we recommend you and the payee or maker close your account and you agree choose not to accept responsibility for payment do so, we may exercise our right to terminate or close the account by giving oral, electronic or written notice to you or to any of the item.authorized signers on the account. (Note: Different liability rules apply to certain electronic fund transfers. See under “Electronic Banking Services”)

Unauthorized Check Transactions. If your negligence contributes to a check being altered, changed or forged, we will not be responsible if we pay the check in good faith and in accordance with the reasonable commercial standards of our business. If anyone disputes the payment of a check because it was altered, changed, forged, bore an unauthorized signature or was otherwise improper, we may not credit the amount to your account until the dispute has been resolvedresolved . We will have a reasonable period of time to investigate the facts and circumstances surrounding any claim anyclaim of loss. Unless a law, rule or regulation provides otherwise, ,such a claim is deemed not to have been made until submitted in writing to us. You agree to fully cooperate in our investigation deemednot of such a claim. Your cooperation may include among other things, at the Bank’s discretion: (1) a requirement that you submit a declaration under penalty of perjury describing your claim; (2) a report filed with the appropriate police and/or investigatory authority; (3) promptly providing documentation in support of your claim that the Bank requests; and (4) making a claim against any insurance coverage that you might carry, including for claims arising from employee fraud or embezzlement. Any failure to cooperate in the Bank’s investigation may result in our decision not to honor your claim. We may, although we are not required to do so, provisionally credit your account pending the final outcome of the investigation. If we determine, in our sole discretion, that the debit to your account was not improper, thatthedebittoyouraccountwas notimproper,then we may reverse any provisional credit made mayreverse anyprovisionalcreditmade to your account. We will not be liable for special or consequential damages, including loss of profits or opportunity, or for attorneysforattorneys’ fees incurred feesincurred by you to recover your loss against the person responsible and you torecoveryourlossagainsttheperson responsibleandyou agree to indemnify and hold us harmless from any such losseslosses . In the event that we reimburse your loss, you agree that you will not waive any rights you have to recover your loss against anyone who is obligated to repay, insure, or otherwise reimburse you for your loss. You will pursue your rights or, at our option, assign them to us so that we may pursue them. Our liability will be reduced by the amount you recover or are entitled to recover from these other sources, including insurance coverage. At our request, you will provide us with all reasonable information about your insurance coverage, including the name of your insurance carrier, policy number, policy limits, applicable deductibles, and/or assignment of rights under the policypolicy . You waive all rights to subrogation against us with respect to any insurance policy or bondbond . Checks Bearing Notations You agree not to print, or other otherwise present, checks, withdrawal orders or other items with special limitations, including when drawn on your account. Examples of special limitations include, but are not limited to, “void over $100,” “two signatures required,” “paid in full” or “void after 90 daysdays .” If you do print, or otherwise present, checks, withdrawal orders or other items with any special limitations, you agree that we are not bound by such limitations. You authorize us, but we will not be obligated, to pay such items, or take them for deposit, without regard to the stated limitation(s). You further agree to indemnify us and hold us harmless for any claims or losses arising out of our refusal to honor said restrictions. In no event will we be liable for our refusal to honor the special limitations, tohonorthespeciallimitations,whether or not we previously honored thempreviouslyhonoredthem. If you Ifyou cash or deposit an item or write a check with such a notation, you agree that it applies only between you and the payee thepayee or maker and makerand you agree to accept toaccept responsibility for payment of the item.