ECCHO Rule Changes – December 1, 2008
- Section I – Definitions
Centralized all definitions from Section XIX and Section XX into Section I
Added three new definitions: Administrative Reason, Electronic Indorsement and Not Our item
- Section II(B) – Rules – Nature of Rules
Added Electronic Image and Electronic Image/Returns
- Section III- Items Eligible for Exchange; Repairs; Integrity; Items Eligible for RNOTES
Eliminated separate eligibilityrequirement
Added requirements for deadlines for Presentment Notice and Electronic Image
Clarified repair rule applies to all repairs
Eliminated Batch Integrity which is now a Reg CC provision
Eliminated all provisions relating to RNOTES
- Section IV - Packaging, Sorting and Data File Requirements; Delivery and Transmission Locations - Old
Eliminated Section
Eliminated provisions relating to paper item collection
Moved requirement for Presentment Notice deadline and location into Section XIX
Eliminated all provisions relating to RNOTES
- Section IV–Third Party Agent - New
Section moved from Section XIX and XX and combined
- Section V–Exchange of Notices and Items; Presentment Notices; Presentment - Old
Eliminated Section
Deadlines moved to Section III(C)
Presentment Commentary moved to Section XIX(H)
Eliminated provisions relating to paper item collection
- Section V–Electronic Image Formats - New
Moved from Section XV and made applicable to image exchange generally
- Section VII–Presentment Notice Warranties and Presentment Agreements of Sending Bank; Indorsements
Eliminated Section
Eliminated warranty related to ECP with Paper to Follow
Transferred certain warranties relating to Presentment Notices to warranties for Electronic Images to Section XIX(L)
- Section VIII–Preliminary Notice of Nonpayment; RNOTE; Returned Item Procedures; Returned Item Settlement; RNOTE Warranties; Sending Bank Indemnity
Eliminated Section
Eliminated all provisions relating to RNOTES and Preliminary RNOTES
Eliminated provisions relating to paper item collection
- Section XII–Adjustments
Eliminated provisions relating to paper item collection – Section XII(C)
- Section XV–Data File Description and Formats
Moved to Section V and made applicable to image exchange generally
Eliminated references to specific technological standard
- Section XIX(A)–Electronic Image - Definitions
Centralized all definitions into Section I
- Section XIX(B)–Electronic Image –Third Party Agent
Moved to Section IV
- Section XIX(C)–Electronic Image –Items Eligible for Imaging
Moved text regarding unreadable character from Section III(C)
- Section XIX(D)–Electronic Image – Provision of Electronic Image of Eligible Item
Presentment Notice can be made available in addition to received
- Section XIX(E)–Electronic Image –Indoresment of Related Physical Check
Give legal equivalence for Electronic Indorsement the same as written indorsement
Sending Bank required to provide Electronic Indorsement to indicate that it is Depositary Bank or Collecting Bank
Requirement for Sending Bank that is Depositary Bank to include Electronic Indorsement
- If Sending Bank identifies different bank it shall also include its own indorsement as Collecting Bank
- Section XIX(G)–Electronic Image – Transmission and Acknowledgement of Electronic Image
Presentment Notice can be made available in addition to received
Include Presentment Notice to address deletions in Section IV
- Section XIX(H)–Electronic Image – Presentment
Presentment Notice can be made available in addition to received
Moved some Commentary from Section V(B) and revised
- Section XIX(I)–Electronic Image – Rule Inapplicable to Images
Eliminated section identifying sections of rules that do not apply to image since all rules are now Image
- Section XIX(J)–Electronic Image – Electronic Image Return
Eliminated verbiage that Sending Bank may indicate in record, return instructions and is responsible for accuracy and completeness of instructions
- Hierarchy in Section XX(D) replaces this
- Section XIX(L)–Electronic Image –Sending Bank Warranties and Indemnification
Moved warranty from Section VII(A) that Presentment Notice associated with Electronic Image accurately describe the Related Physical Check
- Section XIX(P)–Electronic Image – Definitions for Substitute Checks under Check 21 Act
Centralized all definitions into Section I
- Section XX(A)–Electronic/Image Returns - Definitions
Centralized all definitions into Section I
- Section XX(B)–Electronic/Image Returns – Third Party Agent
Moved to Section IV
- Section XX(C)–Electronic/Image Returns – Eligibility for Electronic/Image Return
Moved text regarding unreadable character from Section III(C)
- Section XX(D)–Electronic/Image Returns – Electronic/Image Returns
Return Routing does not apply when returning Electronic Image for Administrative Reason or a Collecting Bank is handling Electronic Image prior to Presentment
Returning Member shall return Electronic Image or Substitute Check
- If Depositary Bank identified in Electronic Indorsement shall return to that bank
If more than one shall return to newest (last appearing) Electronic Indorsement
- If Depositary Bank not identified in Electronic Indorsement, shall return to Depositary Bank identified on back of Electronic Image
- If Depositary Bank not identified in Electronic Indorsement and not identified or unreadable on back of Electronic Image shall return to oldest (first appearing) Electronic Indorsement of Collecting Bank
- If item cannot be returned according to above, it shall be returned to Returnee Member that originally sent Electronic Image to Returning Member
As alternative Returning Member may return item to bank that has agreed to act as returning bank under Reg CC
Member may handle return based on Electronic Indorsement, notwithstanding existence of different indorsement on back of item
Elimination of Reg CC advice requirement when returning to non BOFD
- Section XX(K)–Electronic/Image Returns – Returnee Member Warranties and Indemnification - Commentary
Eliminated all provisions relating to RNotes
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