N.Y. Banking Law Section 9
Checks drawn against corporate funds or payable to corporations

  • no notice of defense against or claim to check
Notwithstanding section 3-304 of the uniform commercial code, the drawing of a check by an officer or agent of a corporation against the account of, or in the name of the corporation, whether the check is drawn against an account in the name of the corporation, or in the name of such officer or agent of the corporation as such, to himself as payee, or the endorsement of a check in the name of the corporation, to himself as endorsee, and in either case the cashing of such check or the deposit thereof to the credit of his personal account, shall not constitute notice to a private banker, banking organization or branch of a foreign banking corporation of any defense against or claim to the check on the part of any person, provided that the private banker, banking organization or branch has on file an authorization from the corporation showing that the officer or agent is authorized on behalf of the corporation to perform any of the above acts for unlimited or limited amounts, and that the amount of the check does not exceed the maximum limits of the amount so contained in the authorization so filed for the officer or agent when such a limitation is contained therein.

Source: Section 9 — Checks drawn against corporate funds or payable to corporations; no notice of defense against or claim to check, https://www.­nysenate.­gov/legislation/laws/BNK/9 (updated Sep. 22, 2014; accessed Dec. 21, 2024).

1
Short title 2
Definitions 2‑A
Limited liability investment company 2‑B
Limited liability trust companies 4
Information to be given to social services officials, state department of social services, state department of mental hygiene, the mental... 4‑A
Banks to display signs 4‑B
Advertising 4‑C
Exemptions from certain provisions of chapter 5
Loans pursuant to the "Servicemen’s Readjustment Act of 1944 6
Investment in obligations of housing corporations indirectly guaranteed pursuant to the “Servicemen’s Readjustment Act of 1944” 6‑A
Investment in obligations of certain persons sixty-five years of age or over incurred to satisfy real property tax indebtedness 6‑C
Application forms to be made available 6‑D
Requirement to state in writing reason for denial of mortgage loan 6‑E
Graduated payment mortgages authorized 6‑F
Alternative mortgage instruments made by banks, trust companies, savings banks, savings and loan associations and credit unions 6‑G
Override of certain provisions of United States Public Law 97-320 6‑H
Reverse mortgage loans authorized 6‑I
Mortgage loans 6‑J
Proof of insurance 6‑K
Real property insurance escrow accounts 6‑L
High-cost home loans 6‑M
Subprime home loans 6‑N
Responsibility of banks for mortgages being processed for modification 6‑O
Single point of contact for modifying delinquent home loans 6‑O*2
Reverse cooperative apartment unit loans for persons sixty-two years of age or older 6‑P
Loan counseling for mortgages guaranteed by the Servicemen’s Readjustment Act of 1944 7
Payment of dividends or interest upon unclaimed deposits or shares 8
Deposits by custodian designated by administrator of veterans’ affairs, or by person certified by social security administration 9
Checks drawn against corporate funds or payable to corporations 9‑A
Defense of ultra vires 9‑B
Actions or special proceedings by superintendent or attorney-general 9‑C
Superintendent’s or attorney-general’s action for judicial dissolution 9‑D
Enforcement of section two hundred ninety-six-a of the executive law 9‑F
Geographic discrimination in making mortgage loans prohibited 9‑G
Right of set off 9‑H
Imposition of service charges prohibited 9‑I
Close-out fees prohibited in certain cases 9‑I*2
Prohibition on depositor of early withdrawal penalty in certain cases 9‑J
Disposal of records 9‑K
Sale of education loans 9‑M
Return of checks 9‑N
Trust accounts 9‑O
Mortgage loans 9‑P
Acceptance of certain checks for deposit 9‑R
Geographic restrictions 9‑S
Preauthorized electronic fund transfers 9‑T
Unsolicited mail-loan checks 9‑U
ATM transactions by persons using foreign bank accounts 9‑V
Savings promotion prize giveaway 9‑W
Standard financial aid award letter 9‑X
Mortgage forbearance 9‑X*2
Fees based on inactivity 9‑Y
Order of payment of checks and other debits, insufficient funds charges and return deposit item charges 9‑Z
Cashing of certain checks
Green check means up to date. Up to date

Accessed:
Dec. 21, 2024

Last modified:
Sep. 22, 2014

§ 9’s source at nysenate​.gov

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