§ 28-9-5-1 — Holds on or restrictions of withdrawals from deposit accounts; failure to send copy of order or notice or written notification to depositor; immunity

Indiana § 28-9-5-1

• Jurisdiction: Indiana
• Art. 9: DEPOSITORY FINANCIAL INSTITUTIONS
• Ch. 5: Immunity; Indemnification; Interpleader

Text

(a) A depository financial institution that, in
good faith, places a hold on, or otherwise restricts withdrawals from,
a deposit account under IC 28-9-4-1(a), under IC 28-9-4-2(a), or in
response to the process prescribed in IC 28-9-3-3(b)(2) is immune from
civil liability to any person, including any depositor, by reason of the
failure of the depository financial institution to treat the deposit account
in accordance with an agreement made between the depository
financial institution and a depositor.
(b) A depository financial institution that, in good faith, places a
hold on a deposit account under IC 28-9-4-2(a) is immune from civil
liability to any depositor for the failure of the depository financial
institution to send the copy of the order or notice or the written
notification required under IC 28-9-4-2(a)(2) or for the failure to send
the written notification required under IC 28-9-4-2(a)(3) if the failure
was not intentional and was the result of a bona fide error
notwithstanding the maintenance of procedures reasonably adapted to
avoid such an error.

Legislative History

As added by P.L.258-1989, SEC.2.