Wrongful Dishonor. It shall not constitute wrongful dishonor by FI if (a) FI dishonors an Exception Item that FI has been ordered to pay pursuant to a “pay” decision; or (b) for which the Company has not issued a “return” decision under the pay “default decision”. FI shall have no liability to the Company for wrongful dishonor when FI, acting in good faith, returns an Exception Item: (a) that it reasonably believed was not properly payable; (b) if there are insufficient Available Funds on deposit in the account; or (c) if required to do so by the service of legal process on FI or instructions of regulatory or government authorities or courts.
Appears in 3 contracts
Sources: Business Manager and E Sign Agreement, Business Manager and E Sign Agreement, Business Manager and E Sign Agreement