{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/8.4A-204.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/8.4A-204.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/8.4A-204.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/8.4A-204.html"}],"law_id":78010,"edition_id":1,"section_id":78010,"structure_id":14106,"section_number":"8.4A-204","catch_line":"Refund of payment and duty of customer to report with respect to unauthorized payment order","history":"1990, c. 9; 2003, c. 353.","full_text":"a\n\nIf a receiving bank accepts a payment order issued in the name of its customer as sender which is (i) not authorized and not effective as the order of the customer under § 8.4A-202, or (ii) not enforceable, in whole or in part, against the customer under § 8.4A-203, the bank shall refund any payment of the payment order received from the customer to the extent the bank is not entitled to enforce payment and shall pay interest on the refundable amount calculated from the date the bank received payment to the date of the refund. However, the customer is not entitled to interest from the bank on the amount to be refunded if the customer fails to exercise ordinary care to determine that the order was not authorized by the customer and to notify the bank of the relevant facts within a reasonable time not exceeding 90 days after the date the customer received notification from the bank that the order was accepted or that the customer’s account was debited with respect to the order. The bank is not entitled to any recovery from the customer on account of a failure by the customer to give notification as stated in this section.b\n\nReasonable time under subsection (a) of this section may be fixed by agreement as stated in subsection (b) of § 8.1A-302, but the obligation of a receiving bank to refund payment as stated in subsection (a) of this section may not otherwise be varied by agreement.","order_by":null,"text":{"0":{"id":279697,"text":"If a receiving bank accepts a payment order issued in the name of its customer as sender which is (i) not authorized and not effective as the order of the customer under § 8.4A-202, or (ii) not enforceable, in whole or in part, against the customer under § 8.4A-203, the bank shall refund any payment of the payment order received from the customer to the extent the bank is not entitled to enforce payment and shall pay interest on the refundable amount calculated from the date the bank received payment to the date of the refund. However, the customer is not entitled to interest from the bank on the amount to be refunded if the customer fails to exercise ordinary care to determine that the order was not authorized by the customer and to notify the bank of the relevant facts within a reasonable time not exceeding 90 days after the date the customer received notification from the bank that the order was accepted or that the customer’s account was debited with respect to the order. The bank is not entitled to any recovery from the customer on account of a failure by the customer to give notification as stated in this section.","type":"section","prefixes":["a"],"prefix":"a","entire_prefix":"a","prefix_anchor":"a","level":1,"next_prefix":"b"},"1":{"id":279698,"text":"Reasonable time under subsection (a) of this section may be fixed by agreement as stated in subsection (b) of § 8.1A-302, but the obligation of a receiving bank to refund payment as stated in subsection (a) of this section may not otherwise be varied by agreement.","type":"section","prefixes":["b"],"prefix":"b","entire_prefix":"b","prefix_anchor":"b","level":1,"prior_prefix":"a"}},"ancestry":[{"id":14106,"edition_id":1,"name":"Issue and Acceptance of Payment Order","identifier":"2","label":"part","depth":2,"order_by":1,"parent_id":13362,"metadata":{},"date_created":"2026-06-26 03:46:53","date_modified":"2026-06-26 03:46:53","permalink":{"id":283223,"object_type":"structure","relational_id":14106,"identifier":"2","token":"8.4A\/2","url":"\/8.4A\/2\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13362,"edition_id":1,"name":"Commercial Code \u2014 Funds Transfers","identifier":"8.4A","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:44:42","date_modified":"2026-06-26 03:44:42","permalink":{"id":283187,"object_type":"structure","relational_id":13362,"identifier":"8.4A","token":"8.4A","url":"\/8.4A\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":72906,"structure_id":14106,"section_number":"8.4A-201","catch_line":"Security procedure","url":"\/8.4A-201\/","token":"8.4A\/2\/8.4A-201","metadata":false},{"id":81942,"structure_id":14106,"section_number":"8.4A-202","catch_line":"Authorized and verified payment orders","url":"\/8.4A-202\/","token":"8.4A\/2\/8.4A-202","metadata":false},{"id":68248,"structure_id":14106,"section_number":"8.4A-203","catch_line":"Unenforceability of certain verified payment orders","url":"\/8.4A-203\/","token":"8.4A\/2\/8.4A-203","metadata":false},{"id":78010,"structure_id":14106,"section_number":"8.4A-204","catch_line":"Refund of payment and duty of customer to report with respect to unauthorized payment order","url":"\/8.4A-204\/","token":"8.4A\/2\/8.4A-204","metadata":false},{"id":77755,"structure_id":14106,"section_number":"8.4A-205","catch_line":"Erroneous payment orders","url":"\/8.4A-205\/","token":"8.4A\/2\/8.4A-205","metadata":false},{"id":64984,"structure_id":14106,"section_number":"8.4A-206","catch_line":"Transmission of payment order through funds-transfer or other communication system","url":"\/8.4A-206\/","token":"8.4A\/2\/8.4A-206","metadata":false},{"id":59923,"structure_id":14106,"section_number":"8.4A-207","catch_line":"Misdescription of beneficiary","url":"\/8.4A-207\/","token":"8.4A\/2\/8.4A-207","metadata":false},{"id":65335,"structure_id":14106,"section_number":"8.4A-208","catch_line":"Misdescription of intermediary bank or beneficiary's bank","url":"\/8.4A-208\/","token":"8.4A\/2\/8.4A-208","metadata":false},{"id":78930,"structure_id":14106,"section_number":"8.4A-209","catch_line":"Acceptance of payment order","url":"\/8.4A-209\/","token":"8.4A\/2\/8.4A-209","metadata":false},{"id":55237,"structure_id":14106,"section_number":"8.4A-210","catch_line":"Rejection of payment order","url":"\/8.4A-210\/","token":"8.4A\/2\/8.4A-210","metadata":false},{"id":85898,"structure_id":14106,"section_number":"8.4A-211","catch_line":"Cancellation and amendment of payment order","url":"\/8.4A-211\/","token":"8.4A\/2\/8.4A-211","metadata":false},{"id":69041,"structure_id":14106,"section_number":"8.4A-212","catch_line":"Liability and duty of receiving bank regarding unaccepted payment order","url":"\/8.4A-212\/","token":"8.4A\/2\/8.4A-212","metadata":false}],"previous_section":{"id":68248,"structure_id":14106,"section_number":"8.4A-203","catch_line":"Unenforceability of certain verified payment orders","url":"\/8.4A-203\/","token":"8.4A\/2\/8.4A-203","metadata":false},"next_section":{"id":77755,"structure_id":14106,"section_number":"8.4A-205","catch_line":"Erroneous payment orders","url":"\/8.4A-205\/","token":"8.4A\/2\/8.4A-205","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/8.4A-204\/","history_text":"

This law was first created in 1990. The record of its establishment is cataloged in chapter 9 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1990 \u201cActs\u201d aren\u2019t available online. It has been modified 1 time. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. That modification is as follows: in 2003, chapter 353<\/a>.<\/p>","references":[{"id":81579,"section_number":"8.4A-402","catch_line":"Obligation of sender to pay receiving bank","order_by":null,"url":"\/8.4A-402\/"}],"refers_to":[{"id":84280,"section_number":"8.1A-302","catch_line":"Variation by agreement","order_by":null,"url":"\/8.1A-302\/"},{"id":81942,"section_number":"8.4A-202","catch_line":"Authorized and verified payment orders","order_by":null,"url":"\/8.4A-202\/"},{"id":68248,"section_number":"8.4A-203","catch_line":"Unenforceability of certain verified payment orders","order_by":null,"url":"\/8.4A-203\/"}],"permalink":{"id":283237,"object_type":"law","relational_id":78010,"identifier":"8.4A-204","token":"8.4A\/2\/8.4A-204","url":"\/8.4A-204\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/8.4A-204\/","token":"8.4A\/2\/8.4A-204","dublin_core":{"Title":"Refund of payment and duty of customer to report with respect to unauthorized payment order","Type":"Text","Format":"text\/html","Identifier":"\u00a7 8.4A-204","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

a.<\/span> If a receiving bank accepts a payment order<\/span> issued in the name of its customer as sender which is (i) not authorized and not effective as the order<\/span> of the customer under § 8.4A-202<\/a>, or (ii) not enforceable, in whole or in part, against the customer under § 8.4A-203<\/a>, the bank shall refund any payment of the payment order<\/span> received from the customer to the extent the bank is not entitled to enforce payment and shall pay interest on the refundable amount calculated from the date the bank received payment to the date of the refund. However, the customer is not entitled to interest from the bank on the amount to be refunded if the customer fails to exercise ordinary care to determine that the order<\/span> was not authorized by the customer and to notify the bank of the relevant facts<\/span> within a reasonable time not exceeding 90 days after the date the customer received notification from the bank that the order<\/span> was accepted or that the customer’s account was debited with respect to the order<\/span>. The bank is not entitled to any recovery from the customer on account of a failure by the customer to give notification as stated in this section. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

b.<\/span> Reasonable time under subsection (a) of this section may be fixed by agreement as stated in subsection (b) of § 8.1A-302<\/a>, but the obligation of a receiving bank to refund payment as stated in subsection (a) of this section may not otherwise be varied by agreement. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nREFUND OF PAYMENT AND DUTY OF CUSTOMER TO REPORT WITH RESPECT TO UNAUTHORIZED\nPAYMENT ORDER (\u00a7 8.4A-204)\n\na. If a receiving bank accepts a payment order issued in the name of its\ncustomer as sender which is (i) not authorized and not effective as the order of\nthe customer under § 8.4A-202, or (ii) not enforceable, in whole or in\npart, against the customer under § 8.4A-203, the bank shall refund any\npayment of the payment order received from the customer to the extent the bank\nis not entitled to enforce payment and shall pay interest on the refundable\namount calculated from the date the bank received payment to the date of the\nrefund. However, the customer is not entitled to interest from the bank on the\namount to be refunded if the customer fails to exercise ordinary care to\ndetermine that the order was not authorized by the customer and to notify the\nbank of the relevant facts within a reasonable time not exceeding 90 days after\nthe date the customer received notification from the bank that the order was\naccepted or that the customer’s account was debited with respect to the\norder. The bank is not entitled to any recovery from the customer on account of\na failure by the customer to give notification as stated in this section.\n\nb. Reasonable time under subsection (a) of this section may be fixed by\nagreement as stated in subsection (b) of § 8.1A-302, but the obligation of\na receiving bank to refund payment as stated in subsection (a) of this section\nmay not otherwise be varied by agreement.\n\nHISTORY: 1990, c. 9; 2003, c. 353.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}