Hello BOLers,

Can an ODFI be held accountable by the RDFI (and its receiver), for the use of an improper SEC code when originating transactions, and strictly on that basis (not necessarily "unauthorized", but rather for breach of warranty in the use of improper SEC codes).

My question concerns the potential for a breach of warranty claim through arbitration or a lawsuit between the RDFI and ODFI, and not regulatory action, the NACHA System of Fines, etc.

Outside of the adjustment window, but within the statute of limitations on bringing a claim for breach of warranty.