Kansas Statutes Annotated

K.S.A. § 9-1206 (2026)

Set off

✓ current as of May 2026

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9-1206. Set off. Any bank shall have the right to set off any obligation or claim which it has, when the same is matured against any depositor.

History: L. 1947, ch. 102, § 55; June 30.

Notes of Decisions

Cited in 10 cases, 1970–2018 · leading case: Moore v. State Bank of Burden, 729 P.2d 1205 (Kan. 1986).

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Moore v. State Bank of Burden, 729 P.2d 1205 (Kan. 1986). · cites it 2× “(K.S.A. 9-1206.) “The next day, August 5, 1983, Ms.”

Tuloka Affiliates, Inc. v. Sec. State Bank, 627 P.2d 816 (Kan. 1981). · cites it 4× “Assuming the finance company's security interest is properly perfected, the bank is entitled to the funds only if it is able to establish that its statutory right of setoff under K.S.A. 9-1206 is superior to the perfected security interest under Article 9 of the Uniform…”

Iola State Bank v. Bolan, 679 P.2d 720 (Kan. 1984). · cites it 2× “Under normal circumstances, when the farmers/sellers sold the grain to Biggs and Biggs’ bank dishonors Biggs’ checks payable to the farmers/sellers, in spite of sufficient funds and in absence of a stop order, the farmers/sellers had no direct recourse against Biggs’ bank until…”

Sec. Bank of Kansas City v. Tripwire Operations Grp., 412 P.3d 1030 (Kan. Ct. App. 2018). “The question for us becomes, since the Bank's judgment is now satisfied is this appeal moot? For the reasons we give later, we hold it is. But we address the issue of setoff first.”

Plummer Dev., Inc. v. Prairie State Bank, 809 P.2d 1216 (Kan. 1991). “SETOFF K.S.A. 9-1206 provides: “Any bank shall have the right to set off any obligation or claim which it has, when the same is matured against any depositor.”

Walton v. Piqua State Bank, 466 P.2d 316 (Kan. 1970). “The provisions of K.S.A. 9-1206 read: "Any bank shall have the right to set off any obligation or claim which it has, when the same is matured against any depositor.”

Four Circle Co-Op v. Kansas State Bank & Trust Co., 771 F. Supp. 1144 (D. Kan. 1991). · cites it 3× “K.S.A. 9-1206 provides: “Any bank shall have the right to set off any obligation or claim which it has, when the same is matured against any depositor.”

State Bank of Spring Hill v. Bucyrus Grain Co. (In Re Bucyrus Grain Co.), 67 B.R. 336 (Bankr. D. Kan. 1986). “The Bank had actual knowledge the funds belonged to a third party. Where a bank actually knows the sums deposited in the account of one of its debtors belong to a third person, it cannot apply such funds against the debtor’s obligation to the bank.”

Karner v. Willis, 700 P.2d 582 (Kan. Ct. App. 1985). “The plaintiffs contended that the setoff was wrongful but the district court disagreed. Plaintiffs appeal from the court’s decision.”

First Nat'l Bank of Gaylord v. Autrey, 673 P.2d 448 (Kan. Ct. App. 1983). “The Bank concedes no filing was ever made and, accordingly, we conclude no perfected security interest ever arose as to contract rights.”

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