Which of the Following Is True of the Check 21

question 9

Multiple Choice

Which of the following is true of the Check 21 Act?

• A)It allows banks to handle a limited number of checks electronically.
• B)It has made it mandatory for banks to return the canceled checks to the customers.
• C)It authorizes banks to transform information they receive in electronic form back into a paper copy of the check.
• D)It requires that banks keep the customers' original checks for a specified period of time.

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Definitions:

Sovereign Immunity

A legal doctrine that exempts governments and their agencies from being sued without their consent.

Act Of State Doctrine

A principle that a nation's domestic actions are not to be questioned or challenged by the courts of another nation.

Principle Of Comity

A legal doctrine allowing courts within one jurisdiction to respect the laws and judicial decisions of another jurisdiction out of courtesy, rather than obligation.

Distribution Agreement

A contract between a seller and a distributor of the seller’s products setting out the terms and conditions of the distributorship.