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The Laws of New York
Consolidated Laws of New York
CHAPTER 38
Uniform Commercial Code
ARTICLE 4
Bank Deposits and Collections
PART 5
Collection of Documentary Drafts
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SECTION 4-501
Handling of Documentary Drafts; Duty to Send for Presentment and to Notify Customer of Dishonor
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PART 5
Collection of Documentary Drafts
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SECTION 4-503
Responsibility of Presenting Bank for Documents and Goods; Report of Reasons for Dishonor; Referee in Case of Need
This entry was published on 2014-09-22
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SECTION 4-502
Presentment of "On Arrival" Drafts
Uniform Commercial Code (UCC) CHAPTER 38, ARTICLE 4, PART 5
Section 4--502. Presentment of "On Arrival" Drafts.

When a draft or the relevant instructions require presentment "on
arrival", "when goods arrive" or the like, the collecting bank need not
present until in its judgment a reasonable time for arrival of the goods
has expired. Refusal to pay or accept because the goods have not arrived
is not dishonor; the bank must notify its transferor of such refusal but
need not present the draft again until it is instructed to do so or
learns of the arrival of the goods.