REPORT Title:

UCC; Dishonored Checks

Description:

Allows the holder of a dishonored check to raise the service charge to not more than $          ." (SD2)

THE SENATE

S.B. NO.

1223

TWENTY-THIRD LEGISLATURE, 2005

S.D. 2

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO NEGOTIABLE INSTRUMENTS.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 490:3-506.5, Hawaii Revised Statutes, is amended to read as follows:

"[[]§490:3-506.5[]] Charges for dishonored checks. The payee or a holder in due course of any check, draft, or order for the payment of money that has been dishonored for lack of funds or credit to pay the check, draft, or order or because the maker has no account with the drawee shall be allowed to assess the maker a reasonable service charge of not more than [$20.] $          ."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2050.