South Carolina General Assembly
113th Session, 1999-2000

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Bill 4646


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Bill Number:                      4646
Type of Legislation:              General Bill GB
Introducing Body:                 House
Introduced Date:                  20000217
Primary Sponsor:                  Davenport
All Sponsors:                     Davenport
Drafted Document Number:          l:\council\bills\skb\18170som00.doc
Residing Body:                    House
Current Committee:                Judiciary Committee 25 HJ
Subject:                          Checks, fraudulent; service charge 
                                  increased on; time to seek warrant for 
                                  violation; Banks and Savings and Loans


                        History

Body    Date      Action Description                     Com     Leg Involved
______  ________  ______________________________________ _______ ____________
House   20000217  Introduced, read first time,           25 HJ
                  referred to Committee


              Versions of This Bill

View additional legislative information at the LPITS web site.


(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND SECTION 34-11-60, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DRAWING AND UTTERING FRAUDULENT CHECKS, SO AS TO INCREASE THE TIME FOR SEEKING A WARRANT FOR A VIOLATION OF THIS SECTION FROM ONE HUNDRED EIGHTY DAYS TO ONE YEAR; AND TO AMEND SECTION 34-11-70, AS AMENDED, RELATING TO COLLECTION AND PROSECUTION PROCEDURES FOR CHECKS DRAWN WITH INSUFFICIENT FUNDS ON DEPOSIT, SO AS TO INCREASE THE SERVICE CHARGE TO FORTY DOLLARS.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. Section 34-11-60(e) of the 1976 Code, as last amended by Act 112 of 1991, is further amended to read:

"(e) No A warrant for a violation of this section may not be obtained more than one hundred eighty days year after the date the check was uttered."

SECTION 2. Section 34-11-70 of the 1976 Code, as last amended by Act 87 of 1999, is further amended to read:

"Section 34-11-70(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 twenty-five, or, thirty dollars for checks over one hundred forty 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 twenty-five, or, thirty dollars for checks over one hundred forty 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 than twenty-five, or, thirty dollars for checks over one hundred forty 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 twenty 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 magistrate's, 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 twenty 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."

SECTION 3. This act takes effect upon approval by the Governor.

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