Florida Statute 670.501 - Full Text and Legal Analysis

The 2025 Florida Statutes

Title XXXIX
COMMERCIAL RELATIONS

Chapter 670
UNIFORM COMMERCIAL CODE: FUNDS TRANSFERS

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670.501 Variation by agreement and effect of funds-transfer system rule.—

(1) Except as otherwise provided in this chapter, the rights and obligations of a party to a funds transfer may be varied by agreement of the affected party.

(2) “Funds-transfer system rule” means a rule of an association of banks governing transmission of payment orders by means of a funds-transfer system of the association or rights and obligations with respect to those orders, or to the extent the rule governs rights and obligations between banks that are parties to a funds transfer in which a Federal Reserve bank, acting as an intermediary bank, sends a payment order to the beneficiary’s bank. Except as otherwise provided in this chapter, a funds-transfer system rule governing rights and obligations between participating banks using the system may be effective even if the rule conflicts with this chapter and indirectly affects another party to the funds transfer that does not consent to the rule. A funds-transfer system rule may also govern rights and obligations of parties other than participating banks using the system to the extent stated in ss. 670.404(3), 670.405(4), and 670.507(3).

History.—s. 1, ch. 91-70.

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Amendments to 670.501

Annotations, Discussions, Cases:

Cases Citing Statute 670.501

Total Results: 2 | Sort by: Relevance | Newest First

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Gilbert & Caddy, P.A. v. JP Morgan Chase Bank, N.A., 193 F. Supp. 3d 1294 (S.D. Fla. 2016).

Cited 2 times | Published | District Court, S.D. Florida | 2016 U.S. Dist. LEXIS 183865, 2016 WL 4613388

...support its position, and for good reason. Florida’s UCC places the burden to review bank statements on the customer, and expressly allows the parties to alter the terms of Chapter 674. See Fla. Stat. Ann. § 674.103 (1); see also Fla. Stat. Ann. § 670.501 (“the rights and obligations of a party to a funds transfer may-be varied by agreement of the affected party.”), In Florida, a Deposit Agreement’s “[u]se of the term ‘problems or unauthorized transactions’ ......

...For the definition of ‘'payment order” and ‘‘beneficiary,” see Fla. Stat. Ann. § 670.103 . . To the extent that UCC § 4A applies to wire transfers, the Court finds the Agreements’ 30-day notification clause permissible. See Fla. Stat. Ann. § 670.501 ("the rights and obligations of a party to a funds transfer may be varied by agreement of the affected party.”); see also Priority Staffing, Inc....

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Jesus Alonso Alvarez Rodriguez v. Branch Banking & Trust Co. (11th Cir. 2022).

Published | Court of Appeals for the Eleventh Circuit

...§ 670.202(2). We realize this is a bit of a slog, but we have just two more provisions to wade through: First, Chapter 670 has a general rule that “the rights and obligations of a party to a funds transfer may be varied by agreement of the affected party.” Id. § 670.501(1)....

...[or] if the receiving bank is not entitled to payment from the customer because the bank erroneously executed a pay- ment order [under Section 303] . . . or [when] the sender of a pay- ment order pays the order and was not obliged to pay all or part of the amount paid [under Section 402(4)].” Id. To recap, Section 670.501 provides that any section in Chap- ter 670 is modifiable by agreement “except as otherwise provided.” Id. § 670.501....

...Id. Second, BB&T says that Section 505—the one-year period— doesn’t have any language prohibiting variation by agreement. BB&T’s argument goes like this: Section 501 provides that every provision in Chapter 670 can be varied unless “[e]xcept as other- wise provided.” Id. § 670.501(1)....

...22 Opinion of the Court 21-11763 claim for a refund could be modified to be unreasonably short— even shorter than the interest period—because there is, after all, no use of the word “reasonable” in Sections 670.501 and 670.505. Id. §§ 670.501; 670.505....

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