674.407

Payor bank’s right to subrogation on improper payment.

Find cases: SyfertCases citing this section FL-LEGleg.state.fl.us JustiaFla. Statutes CornellLII Search CasesGoogle Scholar

674.407 Payor bank’s right to subrogation on improper payment.—If a payor bank has paid an item over the order of the drawer or maker to stop payment, or after the account has been closed, or otherwise under circumstances giving a basis for objection by the drawer or maker, to prevent unjust enrichment and only to the extent necessary to prevent loss to the bank by reason of its payment of the item, the payor bank is subrogated to the rights:

(1) Of any holder in due course on the item against the drawer or maker;

(2) Of the payee or any other holder of the item against the drawer or maker either on the item or under the transaction out of which the item arose; and

(3) Of the drawer or maker against the payee or any other holder of the item with respect to the transaction out of which the item arose.

History.—s. 1, ch. 65-254; s. 44, ch. 92-82.

Note.—s. 4-407, U.C.C.; supersedes s. 659.34.

Notes of Decisions

Cited in 5 cases, 1980–2004 · leading case: SOUTHEAST FIRST NAT. BK v. Atlantic Telec

Sort: Relevance Newest Treatment

SOUTHEAST FIRST NAT. BK v. Atlantic Telec (1980) fladistctapp · cites it 2× “[10] § 674.407, Fla. Stat. (1979); Stuart v. Hertz Corporation, 302 So.”

Earle v. Southeast Bank, N.A. (1991) fladistctapp · cites it 4× “Southeast argues that it is entitled to be subrogated to the rights of C & S pursuant to section 674.407, Florida Statutes (1989).”

Professional Savings Bank v. Galloway Farm Nursery, Inc. (1987) fladistctapp · cites it 4× “Professional brought an action against Galloway as drawer and against Meyers as payee under section 674.407, Florida Statutes (1985), seeking recovery of the ,230.”

SouthTrust Bank v. PartsBase.com, Inc. (2004) fladistctapp · cites it 7× “] § 674.407, Fla. Stat. (2000); see also E.”

Barnett Bank of Jacksonville v. Warren Finance, Inc. (1988) fladistctapp · cites it 2× “" [10] Under UCC § 4-407 (section 674.407, Florida Statutes), a payor bank which pays an item over a stop-payment order of the drawer or maker or "under circumstances giving a basis for objection by the drawer or maker, to prevent unjust enrichment and only to the extent…”

Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.