436.1903b Payment by means dishonored by financial institution; violation of act; administrative fee.
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436.1903b Payment by means dishonored by financial institution; violation of act; administrative fee.
Sec. 903b.
(1)A retailer violates this act if the retailer or the retailer's clerk, servant, agent, or employee makes a payment to a wholesaler by any means that has been dishonored by a financial institution for any reason.
(2)A wholesaler shall require a retailer that has made a payment to the wholesaler that has been dishonored by a financial institution to pay the wholesaler an administrative fee as follows:
(a)For the first dishonored payment, $50.00.
(b)For a second dishonored payment within 12 months of the first dishonored payment, $100.00.
(c)For a third dishonored payment within 12 months of the first dishonored payment, $150.00.
(d)For a fourth dishonored payment within 12 months of the first dishonored payment, $200.00.
(e)For a fifth or any subsequent dishonored payment within 12 months of the first dishonored payment, $250.00.
History: Add. 2016, Act 434 , Imd. Eff. Jan. 4, 2017 ;-- Am. 2025, Act 65 , Imd. Eff. Dec. 23, 2025