H. B. 4354
(By Delegates R. M. Thompson, H. White,
Harrison and Faircloth)
[Introduced
February 1, 2002
; referred to the
Committee on Banking and Insurance then Finance.]
A BILL to amend and reenact section forty, article four, chapter
thirty-one-a of the code of West Virginia, one thousand nine
hundred thirty-one, as amended, relating to permissive closing
of bank branches.
Be it enacted by the Legislature of West Virginia:
That section forty, article four, chapter thirty-one-a of the
code of West Virginia, one thousand nine hundred thirty-one, as
amended, be amended and reenacted to read as follows:
ARTICLE 4. BANKING INSTITUTIONS AND SERVICES GENERALLY.
§31A-4-40. Permissive closing on fixed weekday or portions of
weekdays; notice of closings; emergency closings;
procedures.
(a) In addition to Sundays and legal holidays any banking institution may remain closed on any one fixed weekday or portion
of a day in each calendar week, or on any one fixed weekday and a
portion of another weekday in each calendar week, or on portions of
two weekdays in each calendar week, which day and/or portion or
portions of the day or days when the institution is to remain
closed shall be designated by a resolution adopted by the board of
directors thereof. Prior to any such closing, the banking
institution shall post a notice in a conspicuous place in its
banking room stating that beginning on a day certain the banking
institution will remain closed on a fixed weekday and/or portions
thereof. Concurrently with the posting of the notice of closure,
the banking institution shall cause a notice to be published as a
Class II legal advertisement in compliance with the provisions of
article three, chapter fifty-nine of this code, and the publication
area for the publication shall be the county in which the principal
office of the bank is located. The notice shall set forth the time
or times on which the bank will remain closed and the date when the
closing becomes effective. A certified copy of the resolution
certified by the cashier or secretary of the banking institution,
together with an affidavit of posting and proof of publication of
the notice herein required, shall be filed with the commissioner of banking. Any banking institution may elect to operate branches
that are open for business on the days and for the hours as
determined appropriate by that banking institution.
(b) Any banking institution may close, without notice, during
any period of actual or threatened enemy attack affecting the
community in which the banking institution is located or during any
period of other emergency including, but not limited to, fire,
flood, hurricane, riot, snow or civil commotion: Provided, That
the commissioner shall be notified of any closing made pursuant to
this subsection as soon as practical thereafter.
(c) Any fixed weekday and/or portion of one or more weekdays
on which any banking institution shall elect to close and any
period during which the commissioner may permit it to close
pursuant to the authority of this section shall constitute a legal
holiday with respect to the banking institution and not a business
day or banking day for the purposes of the law relating to
negotiable instruments, and any act or contract authorized,
required or permitted to be carried out or performed at, by or with
respect to the banking institution may be performed on the next
business or banking day, and no liability or loss of rights on the
part of any person or banking institution shall result therefrom.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.