California Assembly Bill AB257 Latest Draft

 BILL NUMBER: AB 257INTRODUCED BILL TEXT INTRODUCED BY Assembly Member Achadjian FEBRUARY 9, 2015 An act to amend Section 1409 of the Financial Code, relating to banking. LEGISLATIVE COUNSEL'S DIGEST AB 257, as introduced, Achadjian. Banking. Under existing law, the Banking Law, when a statement of account has been rendered by a bank to a depositor accompanied by vouchers, if any, which are the basis for debit entries in that account, that account is required, after the period of four years from the date of its rendition, in the event no objection thereto has been theretofore made by the depositor, to be deemed finally adjusted and settled and its correctness conclusively presumed, and that depositor is required thereafter to be barred from questioning the correctness of that account for any cause. This bill would make nonsubstantive changes to that provision. Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 1409 of the Financial Code is amended to read: 1409. When a statement of account has been rendered by a bank to a depositor accompanied by vouchers, if any, which are the basis for debit entries in  such   that  account,  such   that  account shall, after the period of four years from the date of its rendition, in the event no objection thereto has been theretofore made by the depositor, be deemed finally adjusted and settled and its correctness conclusively presumed and  such   that  depositor shall thereafter be barred from questioning the correctness of  such   that  account for any cause. A statement of account within the meaning of this section shall be deemed to have been rendered on a savings or time account when the bank, by making a notation in the depositor's bank book or in some other manner reasonably calculated to give notice thereof to the depositor indicates that a certain sum is the correct balance of the account. Nothing herein shall be construed to relieve the depositor from the duty now imposed by law of exercising due diligence in the examination of  such   that  account and vouchers, if any, when rendered by the bank and of immediate notification to the bank upon discovery of any error therein, nor from the legal consequences of neglect of  such   that  duty; nor to prevent the application of subsection (3) of Section 340 of the Code of Civil Procedure to cases governed thereby.