                                 CODE OF VIRGINIA

DELAYS (§ 8.4-108)

a. Unless otherwise instructed, a collecting bank in a good faith effort to
secure payment of a specific item drawn on a payor other than a bank, and with
or without the approval of any person involved, may, waive, modify or extend
time limits imposed or permitted by this title for a period not exceeding two
additional banking days without discharge of drawers or endorsers or liability
to its transferor or any prior party.

b. Delay by a collecting bank or payor bank beyond time limits prescribed or
permitted by this title or by instructions is excused if (i) the delay is caused
by interruption of communication or computer facilities, suspension of payments
by another bank, war, emergency conditions, failure of equipment or other
circumstances beyond the control of the bank and (ii) the bank exercises such
diligence as the circumstances require.

HISTORY: 1964, c. 219; 1992, c. 693.