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2013 - 2014 LEGISLATURE
April 1, 2013 - Introduced by Representatives Sanfelippo, Craig, Brooks and
Kahl, cosponsored by Senators Lasee, L. Taylor, Lehman and Lassa. Referred
to Committee on Financial Institutions.
AB115,1,4 1An Act to renumber and amend 410.108; to repeal and recreate 410.108
2(title); and to create 410.108 (2) and (3) of the statutes; relating to: remittance
3transfers under the Uniform Commercial Code Article 4A, relating to funds
4transfers.
Analysis by the Legislative Reference Bureau
This state has adopted the Uniform Commercial Code (UCC) Article 4A,
governing funds transfers, as chapter 410 of the Wisconsin Statutes. A "funds
transfer" is defined as a series of transactions, beginning with the originator's
payment order, made for the purpose of making payment to the beneficiary of the
order. A "payment order" is defined as an instruction of a sender to a bank to pay,
or to cause another bank to pay, a specified amount of money to the beneficiary of the
payment order. UCC Article 4A establishes comprehensive provisions to govern
funds transfers, but these provisions do not apply to a funds transfer any part of
which is governed by the federal Electronic Fund Transfer Act (EFTA).
The federal Dodd-Frank Wall Street Reform and Consumer Protection Act
(P.L. 111-203), signed into law on July 21, 2010, included amendments to the EFTA
that impact UCC Article 4A. Federal regulations implementing these changes
become effective in February 2013. As a result of these changes, the Uniform Laws
Committee of the National Conference of Commissioners on Uniform State Laws and
the American Law Institute have approved an amendment to UCC Article 4A. This
bill adopts this amendment.

Under the bill, provisions of UCC Article 4A, as adopted in this state in chapter
410 of the Wisconsin Statutes, apply to a funds transfer that is a remittance transfer
as defined under the EFTA, unless the remittance transfer is an electronic fund
transfer as defined under the EFTA. Under the EFTA, a "remittance transfer" means
an electronic transfer of funds, requested by a consumer, to a recipient in a foreign
country, made by the transfer provider in the normal course of its business, but does
not include transfers of small value. Under the EFTA, "electronic fund transfer"
means a transfer of funds initiated through an electronic terminal, telephonic
instrument, or computer or magnetic tape that orders, instructs, or authorizes a
financial institution to debit or credit an account. "Electronic fund transfer" includes
point-of-sale transfers, automated teller machine transactions, direct deposits or
withdrawals of funds, and transfers initiated by telephone, but does not include
certain transactions such as transactions originated by check; Fedwire transfers;
certain automatic transfers between a consumer's savings and checking accounts;
and certain nonrecurring transfers initiated by a consumer by telephone. If the
provisions of UCC Article 4A apply with respect to a funds transfer and there is an
inconsistency between these provisions and the EFTA, the provision of the EFTA
governs to the extent of the inconsistency.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB115, s. 1 1Section 1. 410.108 (title) of the statutes is repealed and recreated to read:
AB115,2,2 2410.108 (title) Relationship to Electronic Fund Transfer Act.
AB115, s. 2 3Section 2. 410.108 of the statutes is renumbered 410.108 (1) and amended to
4read:
AB115,2,75 410.108 (1) This Except as provided in sub. (2), this chapter does not apply to
6a funds transfer any part of which is governed by the electronic fund transfer act, 15
7USC 1693
to 1693r.
AB115, s. 3 8Section 3. 410.108 (2) and (3) of the statutes are created to read:
AB115,2,119 410.108 (2) This chapter applies to a funds transfer that is a remittance
10transfer, as defined in 15 USC 1693o-1, unless the remittance transfer is an
11electronic fund transfer, as defined in 15 USC 1693a.
AB115,3,4
1(3) In a funds transfer to which this chapter applies, in the event of an
2inconsistency between an applicable provision of this chapter and an applicable
3provision of the electronic fund transfer act, the provision of the electronic fund
4transfer act governs to the extent of the inconsistency.
AB115,3,55 (End)
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