{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/8.4A-402.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/8.4A-402.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/8.4A-402.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/8.4A-402.html"}],"law_id":81579,"edition_id":1,"section_id":81579,"structure_id":15774,"section_number":"8.4A-402","catch_line":"Obligation of sender to pay receiving bank","history":"1990, c. 9.","full_text":"a\n\nThis section is subject to §§ 8.4A-205 and 8.4A-207.b\n\nWith respect to a payment order issued to the beneficiary’s bank, acceptance of the order by the bank obliges the sender to pay the bank the amount of the order, but payment is not due until the payment date of the order.c\n\nThis subsection is subject to subsection (e) of this section, and to § 8.4A-303. With respect to a payment order issued to a receiving bank other than the beneficiary’s bank, acceptance of the order by the receiving bank obliges the sender to pay the bank the amount of the sender’s order. Payment by the sender is not due until the execution date of the sender’s order. The obligation of that sender to pay its payment order is excused if the funds transfer is not completed by acceptance by the beneficiary’s bank of a payment order instructing payment to the beneficiary of that sender’s payment order.d\n\nIf the sender of a payment order pays the order and was not obliged to pay all or part of the amount paid, the bank receiving payment is obliged to refund payment to the extent the sender was not obliged to pay. Except as provided in §§ 8.4A-204 and 8.4A-304, interest is payable on the refundable amount from the date of payment.e\n\nIf a funds transfer is not completed as stated in subsection (c) of this section, and an intermediary bank is obliged to refund payment as stated in subsection (d) of this section, but is unable to do so because not permitted by applicable law or because the bank suspends payments, a sender in the funds transfer that executed a payment order in compliance with an instruction, as stated in subdivision (a) (1) of § 8.4 A-302, to route the funds transfer through that intermediary bank is entitled to receive or retain payment from the sender of the payment order that it accepted. The first sender in the funds transfer that issued an instruction requiring routing through that intermediary bank is subrogated to the right of the bank that paid the intermediary bank to refund as stated in subsection (d) of this section.f\n\nThe right of the sender of a payment order to be excused from the obligation to pay the order as stated in subsection (c) of this section, or to receive refund under subsection (d) of this section, may not be varied by agreement.","order_by":null,"text":{"0":{"id":292173,"text":"This section is subject to §§ 8.4A-205 and 8.4A-207.","type":"section","prefixes":["a"],"prefix":"a","entire_prefix":"a","prefix_anchor":"a","level":1,"next_prefix":"b"},"1":{"id":292174,"text":"With respect to a payment order issued to the beneficiary’s bank, acceptance of the order by the bank obliges the sender to pay the bank the amount of the order, but payment is not due until the payment date of the order.","type":"section","prefixes":["b"],"prefix":"b","entire_prefix":"b","prefix_anchor":"b","level":1,"prior_prefix":"a","next_prefix":"c"},"2":{"id":292175,"text":"This subsection is subject to subsection (e) of this section, and to § 8.4A-303. With respect to a payment order issued to a receiving bank other than the beneficiary’s bank, acceptance of the order by the receiving bank obliges the sender to pay the bank the amount of the sender’s order. Payment by the sender is not due until the execution date of the sender’s order. The obligation of that sender to pay its payment order is excused if the funds transfer is not completed by acceptance by the beneficiary’s bank of a payment order instructing payment to the beneficiary of that sender’s payment order.","type":"section","prefixes":["c"],"prefix":"c","entire_prefix":"c","prefix_anchor":"c","level":1,"prior_prefix":"b","next_prefix":"d"},"3":{"id":292176,"text":"If the sender of a payment order pays the order and was not obliged to pay all or part of the amount paid, the bank receiving payment is obliged to refund payment to the extent the sender was not obliged to pay. Except as provided in §§ 8.4A-204 and 8.4A-304, interest is payable on the refundable amount from the date of payment.","type":"section","prefixes":["d"],"prefix":"d","entire_prefix":"d","prefix_anchor":"d","level":1,"prior_prefix":"c","next_prefix":"e"},"4":{"id":292177,"text":"If a funds transfer is not completed as stated in subsection (c) of this section, and an intermediary bank is obliged to refund payment as stated in subsection (d) of this section, but is unable to do so because not permitted by applicable law or because the bank suspends payments, a sender in the funds transfer that executed a payment order in compliance with an instruction, as stated in subdivision (a) (1) of § 8.4 A-302, to route the funds transfer through that intermediary bank is entitled to receive or retain payment from the sender of the payment order that it accepted. The first sender in the funds transfer that issued an instruction requiring routing through that intermediary bank is subrogated to the right of the bank that paid the intermediary bank to refund as stated in subsection (d) of this section.","type":"section","prefixes":["e"],"prefix":"e","entire_prefix":"e","prefix_anchor":"e","level":1,"prior_prefix":"d","next_prefix":"f"},"5":{"id":292178,"text":"The right of the sender of a payment order to be excused from the obligation to pay the order as stated in subsection (c) of this section, or to receive refund under subsection (d) of this section, may not be varied by agreement.","type":"section","prefixes":["f"],"prefix":"f","entire_prefix":"f","prefix_anchor":"f","level":1,"prior_prefix":"e"}},"ancestry":[{"id":15774,"edition_id":1,"name":"Payment","identifier":"4","label":"part","depth":2,"order_by":1,"parent_id":13362,"metadata":{},"date_created":"2026-06-26 03:59:21","date_modified":"2026-06-26 03:59:21","permalink":{"id":283295,"object_type":"structure","relational_id":15774,"identifier":"4","token":"8.4A\/4","url":"\/8.4A\/4\/","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":63521,"structure_id":15774,"section_number":"8.4A-401","catch_line":"Payment date","url":"\/8.4A-401\/","token":"8.4A\/4\/8.4A-401","metadata":false},{"id":81579,"structure_id":15774,"section_number":"8.4A-402","catch_line":"Obligation of sender to pay receiving bank","url":"\/8.4A-402\/","token":"8.4A\/4\/8.4A-402","metadata":false},{"id":80646,"structure_id":15774,"section_number":"8.4A-403","catch_line":"Payment by sender to receiving bank","url":"\/8.4A-403\/","token":"8.4A\/4\/8.4A-403","metadata":false},{"id":73296,"structure_id":15774,"section_number":"8.4A-404","catch_line":"Obligation of beneficiary's bank to pay and give notice to beneficiary","url":"\/8.4A-404\/","token":"8.4A\/4\/8.4A-404","metadata":false},{"id":77247,"structure_id":15774,"section_number":"8.4A-405","catch_line":"Payment by beneficiary's bank to beneficiary","url":"\/8.4A-405\/","token":"8.4A\/4\/8.4A-405","metadata":false},{"id":60722,"structure_id":15774,"section_number":"8.4A-406","catch_line":"Payment by originator to beneficiary; discharge of underlying obligation","url":"\/8.4A-406\/","token":"8.4A\/4\/8.4A-406","metadata":false}],"previous_section":{"id":63521,"structure_id":15774,"section_number":"8.4A-401","catch_line":"Payment date","url":"\/8.4A-401\/","token":"8.4A\/4\/8.4A-401","metadata":false},"next_section":{"id":80646,"structure_id":15774,"section_number":"8.4A-403","catch_line":"Payment by sender to receiving bank","url":"\/8.4A-403\/","token":"8.4A\/4\/8.4A-403","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/8.4A-402\/","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.<\/p>","references":[{"id":84794,"section_number":"8.4A-303","catch_line":"Erroneous execution of payment order","order_by":null,"url":"\/8.4A-303\/"},{"id":63931,"section_number":"8.4A-304","catch_line":"Duty of sender to report erroneously executed payment order","order_by":null,"url":"\/8.4A-304\/"},{"id":80646,"section_number":"8.4A-403","catch_line":"Payment by sender to receiving bank","order_by":null,"url":"\/8.4A-403\/"},{"id":77247,"section_number":"8.4A-405","catch_line":"Payment by beneficiary's bank to beneficiary","order_by":null,"url":"\/8.4A-405\/"}],"refers_to":[{"id":78010,"section_number":"8.4A-204","catch_line":"Refund of payment and duty of customer to report with respect to unauthorized payment order","order_by":null,"url":"\/8.4A-204\/"},{"id":77755,"section_number":"8.4A-205","catch_line":"Erroneous payment orders","order_by":null,"url":"\/8.4A-205\/"},{"id":84794,"section_number":"8.4A-303","catch_line":"Erroneous execution of payment order","order_by":null,"url":"\/8.4A-303\/"},{"id":63931,"section_number":"8.4A-304","catch_line":"Duty of sender to report erroneously executed payment order","order_by":null,"url":"\/8.4A-304\/"}],"permalink":{"id":283301,"object_type":"law","relational_id":81579,"identifier":"8.4A-402","token":"8.4A\/4\/8.4A-402","url":"\/8.4A-402\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/8.4A-402\/","token":"8.4A\/4\/8.4A-402","dublin_core":{"Title":"Obligation of sender to pay receiving bank","Type":"Text","Format":"text\/html","Identifier":"\u00a7 8.4A-402","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

a.<\/span> This section is subject to §§ 8.4A-205<\/a> and 8.4A-207<\/a>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

b.<\/span> With respect to a payment order<\/span> issued to the beneficiary’s bank, acceptance of the order<\/span> by the bank obliges the sender to pay the bank the amount of the order<\/span>, but payment is not due until the payment date of the order<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

c.<\/span> This subsection is subject to subsection (e) of this section, and to § 8.4A-303<\/a>. With respect to a payment order<\/span> issued to a receiving bank other than the beneficiary’s bank, acceptance of the order<\/span> by the receiving bank obliges the sender to pay the bank the amount of the sender’s order<\/span>. Payment by the sender is not due until the execution date of the sender’s order<\/span>. The obligation of that sender to pay its payment order<\/span> is excused if the funds transfer<\/span> is not completed by acceptance by the beneficiary’s bank of a payment order<\/span> instructing payment to the beneficiary of that sender’s payment order<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

d.<\/span> If the sender of a payment order<\/span> pays the order<\/span> and was not obliged to pay all or part of the amount paid, the bank receiving payment is obliged to refund payment to the extent the sender was not obliged to pay. Except as provided in §§ 8.4A-204<\/a> and 8.4A-304<\/a>, interest is payable on the refundable amount from the date of payment. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

e.<\/span> If a funds transfer<\/span> is not completed as stated in subsection (c) of this section, and an intermediary bank<\/span> is obliged to refund payment as stated in subsection (d) of this section, but is unable to do so because not permitted by applicable law<\/span> or because the bank suspends payments, a sender in the funds transfer<\/span> that executed a payment order<\/span> in compliance with an instruction, as stated in subdivision (a) (1) of § 8.4 A-302, to route the funds transfer<\/span> through that intermediary bank<\/span> is entitled to receive or retain payment from the sender of the payment order<\/span> that it accepted. The first sender in the funds transfer<\/span> that issued an instruction requiring routing through that intermediary bank<\/span> is subrogated to the right of the bank that paid the intermediary bank<\/span> to refund as stated in subsection (d) of this section. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

f.<\/span> The right of the sender of a payment order<\/span> to be excused from the obligation to pay the order<\/span> as stated in subsection (c) of this section, or to receive refund under subsection (d) of this section, may not be varied by agreement. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nOBLIGATION OF SENDER TO PAY RECEIVING BANK (\u00a7 8.4A-402)\n\na. This section is subject to §§ 8.4A-205 and 8.4A-207.\n\nb. With respect to a payment order issued to the beneficiary’s bank,\nacceptance of the order by the bank obliges the sender to pay the bank the\namount of the order, but payment is not due until the payment date of the order.\n\nc. This subsection is subject to subsection (e) of this section, and to §\n8.4A-303. With respect to a payment order issued to a receiving bank other than\nthe beneficiary’s bank, acceptance of the order by the receiving bank\nobliges the sender to pay the bank the amount of the sender’s order.\nPayment by the sender is not due until the execution date of the sender’s\norder. The obligation of that sender to pay its payment order is excused if the\nfunds transfer is not completed by acceptance by the beneficiary’s bank of\na payment order instructing payment to the beneficiary of that sender’s\npayment order.\n\nd. If the sender of a payment order pays the order and was not obliged to pay\nall or part of the amount paid, the bank receiving payment is obliged to refund\npayment to the extent the sender was not obliged to pay. Except as provided in\n§§ 8.4A-204 and 8.4A-304, interest is payable on the refundable amount\nfrom the date of payment.\n\ne. If a funds transfer is not completed as stated in subsection (c) of this\nsection, and an intermediary bank is obliged to refund payment as stated in\nsubsection (d) of this section, but is unable to do so because not permitted by\napplicable law or because the bank suspends payments, a sender in the funds\ntransfer that executed a payment order in compliance with an instruction, as\nstated in subdivision (a) (1) of § 8.4 A-302, to route the funds transfer\nthrough that intermediary bank is entitled to receive or retain payment from the\nsender of the payment order that it accepted. The first sender in the funds\ntransfer that issued an instruction requiring routing through that intermediary\nbank is subrogated to the right of the bank that paid the intermediary bank to\nrefund as stated in subsection (d) of this section.\n\nf. The right of the sender of a payment order to be excused from the obligation\nto pay the order as stated in subsection (c) of this section, or to receive\nrefund under subsection (d) of this section, may not be varied by agreement.\n\nHISTORY: 1990, c. 9.","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}}