(4-205) Depositary bank holder of unendorsed item
N.D. Cent. Code § 41-04-17
in effect41-04-17. (4-205) Depositary bank holder of unendorsed item
If a customer delivers an item to a depositary bank for collection:
1. The depositary bank becomes a holder of the item at the time it receives the item for
collection if the customer at the time of delivery was a holder of the item, whether or
not the customer endorses, and, if it satisfies the other requirements of section
41-03-28, it may be a holder in due course.
2. The depositary bank warrants to subsequent collecting banks, the payor bank or other
payor, and the drawer that the amount of the item was paid to the customer or
deposited to the customer's account.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://ndlegis.gov/cencode/t41c04.pdf#nameddest=41-04-17Fetched: 10/16/2026