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Civil law. Part II. Collection settlements (the most important)

Lecture notes, cheat sheets

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90. CHECK SETTLEMENTS

A check is a security containing an unconditional order drawer of a check (debtor) bank make payment of the amount specified in it check holder (creditor).

Required check details, the absence of which deprives it of its validity: the name “check”; an order to pay a certain amount of money; name of the payer and indication of the account, with cat. payment must be made; payment currency; date and place of drawing up of the check; drawer's signature.

Form check and the procedure for filling it out are determined by law and banking rules established in accordance with it.

The check could be nominal, order и bearer. A check is characterized by abstractness, public authenticity and unconditionality of payment. The check is paid at the expense of the drawer.

The personal check is not transferable. In a transferable endorsement to the payer has the force of a receipt for payment. An endorsement made by the payer is invalid. A person who is in possession of a transferable check received by endorsement is considered to be its legal owner if he bases his right on an uninterrupted series of endorsements.

Payment on a check may be guaranteed in whole or in part by avalya, cat. may be given by any person other than the payer. The aval is placed on the front side of the check or on an additional sheet by writing “considered as aval” and indicating by whom and for whom it was given. If it is not indicated for whom it was given, then it is considered that the aval was given for the drawer of the check.

The avalist is responsible in the same way as the one for whom he gave the aval. His obligation is valid even if it should be invalid for any reason other than failure to comply with the form. The avalist who paid the check acquires the rights arising from the check against the one for whom he gave the guarantee, and against those who are indebted to the latter.

Period check payment - 10 days, not counting the day of its issuance.

No, thanks from payment of the check must be certified: by a notary making a protest or drawing up an equivalent act in the manner prescribed by law; the payer's mark on the check on the refusal to pay it, indicating the date of submission of the check for payment; a mark of the collecting bank indicating the date that the check was promptly issued and not paid.

The holder of a check is obliged to notify his endorser and the drawer of non-payment within two business days following the date of the protest or an equivalent act. Each endorser must, within two working days following the day of receipt of the notice by him, bring to the attention of his endorser the notice received by him. At the same time, a notice is sent to the one who gave the aval for this person.

Each person liable for a check (drawer, endorsers, avalist) is responsible for the payer's refusal to pay jointly and severally.

The holder of a check has the right to demand from obligated persons: payment of the amount of the check; reimbursement of expenses for receiving payment (making a protest); interest for non-fulfillment of a monetary obligation under Art. 395 GK.

Statute of limitations for a check obligation - 6 months from the date of expiry of the term for presenting a check for payment.

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