Current Status Introducing Body:House Bill Number:3304 Ratification Number:78 Act Number:36 Primary Sponsor:J. Harris Type of Legislation:GB Subject:Bad checks Date Bill Passed both Bodies:Apr 09, 1991 Computer Document Number:NO5/7155.BD Governor's Action:S Date of Governor's Action:Apr 24, 1991 Introduced Date:Jan 24, 1991 Last History Body:------ Last History Date:Apr 24, 1991 Last History Type:Act No. 36 Scope of Legislation:Statewide All Sponsors:J. Harris Tucker Waldrop Clyborne Corning Type of Legislation:General Bill
Bill Body Date Action Description CMN
---- ------ ------------ ------------------------------ ---
3304 ------ Apr 24, 1991 Act No. 36
3304 ------ Apr 24, 1991 Signed by Governor
3304 ------ Apr 18, 1991 Ratified R 78
3304 Senate Apr 09, 1991 Read third time, enrolled for
ratification
3304 Senate Apr 04, 1991 Read second time
3304 Senate Apr 03, 1991 Committee Report: Favorable 11
3304 Senate Feb 27, 1991 Introduced, read first time, 11
referred to Committee
3304 House Feb 26, 1991 Read third time, sent to
Senate
3304 House Feb 21, 1991 Read second time
3304 House Feb 20, 1991 Committee Report: Favorable 25
3304 House Jan 24, 1991 Introduced, read first time, 25
referred to Committee
View additional legislative information at the LPITS web site.
(A36, R78, H3304)
AN ACT TO AMEND SECTION 34-11-70, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PRIMA FACIE EVIDENCE OF AND PROSECUTION FOR FRAUDULENT INTENT IN DRAWING A CHECK, SO AS TO INCREASE THE SERVICE CHARGE FROM FIFTEEN TO TWENTY DOLLARS.
Be it enacted by the General Assembly of the State of South Carolina:
Fraudulent check service charge increased from $15 to $20
SECTION 1. Section 34-11-70(a) of the 1976 Code, as last amended by Act 14 of 1989, is further amended to read:
"(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 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 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 and the bank 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 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)."
Time effective
SECTION 2. This act takes effect upon approval by the Governor.
Approved the 24th day of April, 1991.