Meet the Check Truncation Act and electronic payment legal specialists

The Check Truncation Act ("Check 21") has become a major area of expertise at Schwartz & Ballen. It is actively engaged in implementing the Check Truncation Act which aims to improve the electronic collection of checks nationwide.

The Schwartz & Ballen web site provides information on the Check Truncation Act.

The Check Truncation Act, by streamlining the collection and return processes, will allow depository institutions and depositors to have information sooner about bad checks and thus be able to collect from the writer in a more expeditious manner reducing the amount of losses depository institutions and depositors now experience. With the Check Truncation legislation, depository institutions will also be able to offer new products and services to businesses and consumers, such as providing faster on-line access to information and the ability to print or electronically send a copy to a party questioning payment. Depository institutions will also have the ability to more quickly respond to customers' requests about status of their account and may be able to offer extended deposit cutoff hours under the Check 21 legislation.

Partner Thomas A. Fox has played a leading role in coordinating a task force on this nationwide electronification effort.

He worked with financial institutions and associations to help draft this landmark Congressional legislation. Fox's clients include financial institutions and multi-bank organizations as well as leading technology firms that provide payment services. His expertise involves legal issues related to paper and electronic payments including automated clearing houses, ATM networks, credit and debit card systems, Internet payment products and stored value payment products. He also works on a variety of electronic commerce projects such as customer authentication and data privacy issues.

The Schwartz & Ballen web site provides succinct analyses of laws and regulations that affect financial institutions (banks, thrifts, bank holding companies, savings and loan associations, credit unions) in addition to providing the text of significant new laws and regulations. While major emphasis is placed on federal laws and regulation, significant state actions are also covered as are important court cases. The analyses are grouped by areas of expertise - privacy, money laundering, Federal Reserve Board, Office of the Comptroller of the Currency, Federal Deposit Insurance Corporation, Office of Thrift Supervision, Federal Financial Institutions Examination Council, Federal Trade Commission and the Securities and Exchange Commission.

Schwartz & Ballen provide counsel on issues relating to proposed and developing electronic commerce laws including federal and state digital signature legislation, the Uniform Computer Information Transactions Act (UCITA) and the Uniform Electronic Transactions Act (UETA). In addition to regulatory and legislative counseling, they have drafted operating agreements and system rules and are working on stored value products and smart card products. Schwartz & Ballen advise clients on new and emerging electronic commerce systems including digital signature and certificate authorities. Schwartz & Ballen is involved with the drafting and implementation of electronic commerce laws at both the federal and state levels.

Partners Schwartz, Ballen and Fox have over 50 years of experience in providing legal guidance to the financial services industry and in addressing laws and regulations that govern how financial institutions are able to do business. This includes intimate and exhaustive knowledge of such legislation as the Bank Secrecy, Gramm-Leach-Bliley, Truth-in-Lending, Fair Credit Reporting, Electronic Fund Transfer, anti-tying prohibitions, USA Patriot, Bank Holding Company, and E-Sign Acts.

Stop by Schwartz & Ballen for updates on the Check Clearing for the 21st Century Act legislation.