H. B. 2275
(By Delegates Kominar and Cann)
[Introduced February 28, 1997; referred to the
Committee on the Judiciary.]
A BILL to amend and reenact section thirty-nine-e, article three,
chapter sixty-one of the code of West Virginia, one thousand
nine hundred thirty-one, as amended, relating to worthless
checks; and increasing the allowable service charge for a
dishonored check.
Be it enacted by the Legislature of West Virginia:
That section thirty-nine-e, article three, chapter sixty-one
of the code of West Virginia, one thousand nine hundred
thirty-one, as amended, be amended and reenacted to read as
follows:
ARTICLE 3. CRIMES AGAINST PROPERTY.
§61-3-39e. Notice of dishonor by payee; service charge.
The payee or holder of a check, draft or order which has been dishonored because of insufficient funds or credit may send
notice thereof to the drawer of the check, draft or order. The
payee or holder of any such dishonored check may impose a service
charge not to exceed fifteen twenty-five dollars for a worthless
check less than fifty dollars; thirty dollars for a worthless
check between fifty and three hundred dollars; forty dollars for
a worthless check that is greater than three hundred dollars; and
five percent of the face value of a worthless check over eight
hundred dollars. No service charge shall be imposed or
collected after a complaint for warrant has been delivered to
magistrate court. No payee or holder of a check, draft or order
which has been dishonored because of insufficient funds or credit
shall incur any civil or criminal liability for the sending of a
notice substantially in the form provided herein, other
provisions of law notwithstanding. The form of such the notice
shall be substantially as follows:
"You are hereby notified that a check, number
................, issued by you on (date of check), drawn upon
(name of bank), and payable to ..........................., has
been dishonored. Pursuant to West Virginia law, you have ten
days from the date of this notice to tender payment of the full
amount of such the check plus a fifteen dollar service charge to
the undersigned at ........................... You are further notified that in the event the above amount is timely paid in
full you will not be subject to legal proceedings, civil or
criminal.
Dated ....................., 19.....
.............................
(Signed)."
The provisions of this section do not authorize the making
of any other written or oral threats of prosecution to enforce or
enhance the collection or honoring of said the dishonored check,
draft or order.
The holder or payee of any such check, draft or note shall
relinquish the check, draft or order to the maker upon tender of
the full amount due at any time before a complaint for warrant
has been presented to magistrate court. In the event complaint
for warrant has been presented to magistrate court, payment may
be made only through such the court and any holder or payee
unlawfully accepting payment after such this time shall be liable
for all costs which may be imposed by magistrate court in the
matter, including all costs which may have accrued by the time
the magistrate court is notified of such the payment.
NOTE: The purpose of this bill is to increase the service
fee from fifteen to twenty-five dollars for a worthless check
less than fifty dollars; thirty dollars for a worthless check between fifty and three hundred; forty dollars for a worthless
check that is greater than three hundred dollars; and five
percent of the face value of a worthless check over eight hundred
dollars.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that
would be added.