§ 34-11-70 — Prima facie evidence of fraudulent intent in drawing check, draft, or other written order, reasonable and probable cause for prosecution.

South Carolina § 34-11-70

• Jurisdiction: South Carolina
• Title 34: BANKING, FINANCIAL INSTITUTIONS AND MONEY
• Ch. 11: BANK DEPOSITS

Text

(a) When a check, a draft, or other written order is not paid by the drawee because the maker or drawer did not have an account with or sufficient funds on deposit with the bank or the person upon which it was drawn when presented or the draft, check, or other written order has an incorrect or insufficient signature on it, and the maker or drawer does not pay the amount due on it, together with a service charge of thirty dollars, within ten days after written notice has been sent by certified mail to the address printed on the check or given at the time it is tendered or provided on a check-cashing identification card stating that payment was refused upon the instrument, then it constitutes prima facie evidence of fraudulent intent against the maker. Service charges collected pursuant to this section must be paid to the payee of the instrument. (1) For purposes of subsection (a), notice must be given by mailing the notice with postage prepaid addressed to the person at the address as printed or written on the instrument. The giving of notice by mail is complete upon the expiration of ten days after the deposit of the notice in the mail. A certificate by the payee that the notice has been sent as required by this section is presumptive proof that the requirements as to notice have been met, regardless of the fact that the notice actually might not have been received by the addressee. The form of notice must be substantially as follows: "You are notified that a check or instrument, numbered ___, issued by you on ___ (date), drawn upon ___ (name of bank), and payable to ___, has been dishonored. Pursuant to South Carolina law, you have ten days from the date this notice was mailed to tender payment of the full amount of the check or instrument plus a service charge of thirty dollars, the total amount due being ___ dollars and ___ cents. Unless this amount is paid in full within the specified time above, the holder of the check or instrument may turn over the dishonored check or instrument and all other available information relating to this incident to the solicitor or other appropriate officer for criminal prosecution." (2) When a person instituting prosecution gives notice in substantially similar form provided in item (1) to the person upon which the instrument was drawn and waits ten days from the date notice is mailed before instituting the criminal proceedings, there arises a presumption that the prosecution was instituted for reasonable and probable cause, and the person instituting prosecution is immune from civil liability for the giving of the notice. (3) A service charge of not more thirty dollars is payable by the drawer of a draft, a check, or other written order to the payee of the instrument when the draft, check, or other written order is presented for payment in whole or in part of a then existing debt including, but not limited to, consumer credit transactions, and is dishonored. This service charge is solely to compensate the payee of the instrument for incurred expenses in processing the dishonored instrument and is not related to a presumption of fraud so that it is not necessary to issue the notice to the person at the address as printed on the instrument set forth in items (1) and (2). (b) Any court, including magistrate's, may dismiss a case under the provisions of this chapter for want of prosecution. When any prosecutions are initiated under this chapter, the party applying for the warrant is held liable for all reasonable administrative costs accruing not to exceed forty-one dollars if the case is dismissed for want of prosecution. Unless waived by the court, the party applying for the warrant shall notify, orally or otherwise, the court not less than twenty-four hours before the date and time set for trial that full restitution has been made in connection with the warrant, and the notification relieves that party of the responsibility of prosecution. (c) Any court, including magistrates, may dismiss any prosecution initiated pursuant to the provisions of this chapter on satisfactory proof of restitution and payment by the defendant of all administrative costs accruing not to exceed forty-one dollars submitted before the date set for trial after the issuance of a warrant. (d) For purposes of this chapter, subsequent persons receiving a check, draft, or other written order by endorsement from the original payee or a successor endorsee have the same rights that the original payee has against the maker of the instrument, if the maker of the instrument has the same defenses against subsequent persons as he may have had against the original payee. However, the remedies available under this chapter may be exercised only by one party in interest.

Legislative History

HISTORY: 1962 Code SECTION 8-177; 1952 Code SECTION 8-177; 1942 Code SECTION 1167; 1932 Code SECTION 1167; Cr. C. '22 SECTION 60; Cr. C. '12 SECTION 208; 1909 (26) 21; 1914 (28) 489; 1923 (33) 120; 1970 (56) 2053; 1979 Act Nos. 56 SECTION 2, 93 SECTION 3; 1983 Act No. 73; 1984 Act No. 422; 1987 Act No. 75 SECTION 1, eff May 1, 1987; 1988 Act No. 669, SECTION 2, eff July 1, 1987; 1989 Act No. 14, SECTION 1, eff March 12, 1989; 1991 Act No. 36, SECTION 1, eff April 24, 1991; 1995 Act No. 138, SECTION 4, eff June 28, 1995; 1999 Act No. 87, SECTION 1, eff June 11, 1999; 2000 Act No. 226, SECTION 16, eff April 1, 2000; 2002 Act No. 291, SECTION 1, eff June 3, 2002. Editor's Note 2000 Act No. 226 SECTION 1, effective July 1, 2000, reads as follows: "This act is known and may be cited as the 'Magistrates Court Reform Act of 2000'." Effect of Amendment The 1987 amendment added subsection (d). The 1988 amendment in subsection (a) increased the service charge from ten dollars to fifteen, lowered from fifteen to ten the number of days required for notice, deleted item (3), and made grammatical changes throughout the section. The 1989 amendment added item (3) in subsection (a). The 1991 amendment, in subsection (a), increased the service charge from fifteen to twenty dollars, and made grammatical changes. The 1995 amendment increased the service charge from twenty to twenty-five dollars. The 1999 amendment revised service charges in three locations in subsection (a) from "twenty-five dollars" to "twenty-five, or, thirty dollars for checks over one hundred dollars". The 2000 amendment, in subsections (b) and (c), increased the fee for administrative costs from $25.00 to $41.00. The 2002 amendment, in subsection (a), deleted in three places "twenty-five, or," and "for checks over one hundred dollars" preceding and following "thirty dollars", respectively.