(4-405) Death or incompetence of customer
N.D. Cent. Code § 41-04-36
in effect41-04-36. (4-405) Death or incompetence of customer
1. A payor or collecting bank's authority to accept, pay, or collect an item, or to account
for proceeds of its collection if otherwise effective is not rendered ineffective by
incompetence of a customer of either bank existing at the time the item is issued or its
collection is undertaken if the bank does not know of an adjudication of incompetence.
Neither death nor incompetence of a customer revokes the authority to accept, pay,
collect, or account until the bank knows of the fact of death or of an adjudication of
incompetence and has reasonable opportunity to act on it.
2. Even with knowledge a bank may for ten days after the date of death pay or certify
checks drawn on or before that date unless ordered to stop payment by a person
claiming an interest in the account.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://ndlegis.gov/cencode/t41c04.pdf#nameddest=41-04-36Fetched: 10/16/2026
