reasons for dishonor — referee in case of need. 1. Unless otherwise instructed and except as provided in Article 5, a bank presenting a documentary draft: a. must deliver the documents to the drawee on acceptance of the draft if itis payable more than three days after presentment; otherwise, only on payment; and b. upon dishonor, either in the case of presentment for acceptance or presentment for payment, may seek and follow instructions from any referee in case of need designated in the draft or, if the presenting bank does not choose to utilize the referee’s services, itmust use diligence and good faith to ascertain the reason for dishonor, must notify its transferor of the dishonor and ofthe results of itseffort to ascertain the reasons therefor, and must request instructions. 2. However, the presenting bank is under no obligation with respect to goods represented by the documents except to follow any reasonable instructions seasonably received; ithas a right toreimbursement for any expense incurred in following instructions and to prepayment of or indemnity for those expenses. [S13, §3060-a131, 3138-b40; C24, 27, 31, 35, 39, §8285, 9592; C46, 50, 54, 58, 62, §487.41, 541.132; C66, 71, 73, 75, 77, 79, 81, §554.4503]
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