§12A-4A-405.

§12A-4A-405.
   
   PAYMENT BY BENEFICIARY'S BANK TO BENEFICIARY
   
   (a) If the beneficiary's bank credits an account of the beneficiary of
   a payment order, payment of the bank's obligation under subsection (a)
   of Section 29 of this act occurs when and to the extent (i) the
   beneficiary is notified of the right to withdraw the credit, (ii) the
   bank lawfully applies the credit to a debt of the beneficiary, or
   (iii) funds with respect to the order are otherwise made available to
   the beneficiary by the bank.
   
   (b) If the beneficiary's bank does not credit an account of the
   beneficiary of a payment order, the time when payment of the bank's
   obligation under subsection (a) of Section 29 of this act occurs is
   governed by principles of law that determine when an obligation is
   satisfied.
   
   (c) Except as stated in subsections (d) and (e) of this section, if
   the beneficiary's bank pays the beneficiary of a payment order under a
   condition to payment or agreement of the beneficiary giving the bank
   the right to recover payment from the beneficiary if the bank does not
   receive payment of the order, the condition to payment or agreement is
   not enforceable.
   
   (d) A funds-transfer system rule may provide that payments made to
   beneficiaries of funds transfers made through the system are
   provisional until receipt of payment by the beneficiary's bank of the
   payment order it accepted. A beneficiary's bank that makes a payment
   that is provisional under the rule is entitled to refund from the
   beneficiary if (i) the rule requires that both the beneficiary and the
   originator be given notice of the provisional nature of the payment
   before the funds transfer is initiated, (ii) the beneficiary, the
   beneficiary's bank and the originator's bank agreed to be bound by the
   rule, and (iii) the beneficiary's bank did not receive payment of the
   payment order that it accepted. If the beneficiary is obliged to
   refund payment to the beneficiary's bank, acceptance of the payment
   order by the beneficiary's bank is nullified and no payment by the
   originator of the funds transfer to the beneficiary occurs under
   Section 31 of this act.
   
   (e) This subsection applies to a funds transfer that includes a
   payment order transmitted over a funds-transfer system that (i) nets
   obligations multilaterally among participants, and (ii) has in effect
   a loss-sharing agreement among participants for the purpose of
   providing funds necessary to complete settlement of the obligations of
   one or more participants that do not meet their settlement
   obligations. If the beneficiary's bank in the funds transfer accepts a
   payment order and the system fails to complete settlement pursuant to
   its rules with respect to any payment order in the funds transfer, (i)
   the acceptance by the beneficiary's bank is nullified and no person
   has any right or obligation based on the acceptance, (ii) the
   beneficiary's bank is entitled to recover payment from the
   beneficiary, (iii) no payment by the originator to the beneficiary
   occurs under Section 31 of this act, and (iv) subject to subsection
   (e) of Section 27 of this act, each sender in the funds transfer is
   excused from its obligation to pay its payment order under subsection
   (c) of Section 27 of this act because the funds transfer has not been
   completed.