Notice of Dishonored Check - Criminal - Keywords: bad check, bounced check
Note: This summary is not intended to be an all
inclusive summary of the law of bad checks, but does contain basic and
other provisions.
CRIMINAL PROVISIONS
ARKANSAS CODE
TITLE 5: CRIMINAL OFFENSES
CHAPTER 37: FORGERY AND FRAUDULENT PRACTICES
SUBTITLE 4: OFFENSES AGAINST PROPERTY
SUBCHAPTER 3: WORTHLESS CHECKS
SECTION 303
Ark. Code 5-37-303 Notice. (Arkansas Code (2015 Edition))
(a) For purposes of this section and 5-37-304, notice that payment was refused by the drawee for lack of funds shall be sent by certified mail, registered mail evidenced by return receipt, or by regular mail supported by an affidavit of mailing, to the address printed on the instrument or given at the time of issuance or to the current residence.
(b) (1) The form of the notice under subsection (a) of this section shall be substantially as follows:
You are hereby notified that the check(s) or instrument(s) listed below (has) (have) been dishonored. Pursuant to Arkansas law, you have ten (10) days from receipt of this notice to tender payment of the total amount of the check(s) or instrument(s), plus the applicable service charge(s) of $ ___________________ (not to exceed $30.00 per check), plus the amount of any fees charged by any financial institution as a result of the check's not being honored, the total amount due being $ ___________________. Unless this amount is paid in full within the time specified above, the dishonored check(s) or instrument(s) and all other available information relating to this incident may be turned over to the prosecuting attorney for criminal prosecution.
Section 5-37-303
(2) If notice is sent by an affidavit of mailing, the affidavit of mailing shall contain a copy of the notice and shall substantially state:
Affidavit of Mailing
(c) Any party holding a dishonored check or instrument and giving notice in substantially similar form to that provided in subsection (b) of this section and in the manner provided in subsection (a) of this section is immune from civil liability and criminal liability if sent in good faith for the giving of the notice and for proceeding under the forms of the notice.
Acts 1959, No. 241, 4; 1981, No. 899, 3; 1983, No. 473, 1; A.S.A. 1947, 67-722; Acts 1987, No. 678, 1; 1992 (1st Ex. Sess.), No. 44, 1; 1995, No. 335, 2; 2001, No. 996, 2; 2003, No. 1732, 1; 2011, No. 1012, 2.
Ark. Code 5-37-304 Evidence against maker or drawer. (Arkansas Code (2015 Edition))
(a) For purposes of this section, it is prima facie evidence that the maker or drawer intended to defraud and knew at the time of the making, drawing, uttering, or delivering that the check, draft, order, or other form of presentment involving transmission of account information would not be honored if:
(1) The maker or drawer had no account with the drawee at the time the check, draft, order, or other form of presentment involving transmission of account information was made, drawn, uttered, or delivered;
(2) The check, draft, order, or other form of presentment involving transmission of account information bears the endorsement or stamp of a collecting bank indicating that the instrument or transmission was returned or otherwise dishonored because of insufficient funds to cover the value; or
(3) Payment was refused by the drawee for lack of funds, upon presentation within thirty (30) days after delivery, and the maker or drawer has not paid the holder the amount due, together with a service charge not to exceed thirty dollars ($30.00), plus the amount of any fees charged to the holder of the check, draft, order, or other form of presentment involving transmission of account information by a financial institution as a result of the check, draft, order, or other form of presentment involving transmission of account information not being honored, within ten (10) days after receiving written notice that payment was refused upon the check, draft, order, or other form of presentment involving transmission of account information.
(b) (1) A prosecuting attorney may file charges immediately after the check, draft, order, or other form of presentment involving the transmission of account information has been returned.
(2) The prosecuting attorney may collect restitution, including a service charge, not exceeding thirty dollars ($30.00) per check, draft, order, or other form of presentment involving the transmission of account information plus the amount of any fees charged to the holder of the check, draft, order, or other form of presentment involving the transmission of account information by a financial institution as a result of the check's, draft's, order's, or other forms of presentment involving the transmission of account information's not being honored, for the payees of the check, draft, order, or other form of presentment involving the transmission of account information.
(c) The check, draft, order, or other form of presentment involving the transmission of account information bearing an insufficient stamp or no account stamp from the collecting bank or any other report or stamp from the collecting bank indicating that the check, draft, order, or other form of presentment involving the transmission of account information was dishonored or unable to be paid due to insufficient funds on deposit to cover the value of the check, draft, order, or other form of presentment involving the transmission of account information shall be received as evidence that there were insufficient funds or no account at trial in any court in this state.
(d) Nothing in this section is deemed to abrogate a defendant's right of cross-examination of a banking official if notice of intention to cross-examine is given ten (10) days prior to the date of hearing or trial.
Acts 1959, No. 241, 4; 1981, No. 899, 3; 1983, No. 473, 1; A.S.A. 1947, 67-722; Acts 1987, No. 678, 1; 1992 (1st Ex. Sess.), No. 44, 2; 1995, No. 335, 3; 2001, No. 996, 3; 2001, No. 1466, 2; 2011, No. 1012, 3, 4; 2013, No. 1125, 10.
