Sec. 1. 17-A MRSA §708, sub-§2, ¶B, as amended by PL 1995, c. 38, §1, is further amended to read:

B. Payment was refused by the drawee for lack of funds upon presentment made within the time frame specified in Title 11, section 3-1304, and the drawer failed to honor the drawer's contract within 5 days after actual receipt of a notice of dishonor, as defined in is given pursuant to Title 11, section 3-1503, provided that subsection 2; however, this time limit is tolled during one subsequent representment of the negotiable instrument.

Sec. 2. 17-A MRSA §708, sub-§4, ¶¶C and D, as amended by PL 1995, c. 224, §7, are further amended to read:

C. A Notwithstanding section 362, a Class D crime, if the face value of the negotiable instrument exceeds $1,000 $500 but does not exceed $2,000; or

D. A Notwithstanding section 362, a Class E crime, if the face value of the negotiable instrument does not exceed $1,000 $500, except if the person is convicted of more than one violation of this section, it is a Class D crime.

SUMMARY

This bill amends the crime of negotiating a worthless instrument.

1. It changes the notice of dishonor provision from requiring the issuer of the check to actually receive the notice to requiring the return of the instrument to a bank for collection to be considered sufficient notice.

2. It decreases the minimum amount of the face value of the worthless negotiable instrument at which it becomes a Class D crime from over $1,000 to over $500.

3. It decreases the maximum amount of the face value of the worthless negotiable instrument at which it becomes a Class E crime from $1,000 to $500.

4. It increases the penalty for a person who is convicted of more than one violation of passing a worthless negotiable instrument with a face value of $500 or less.