---
title: O.C.G.A. § 11-4-403. Customer’s right to stop payment; burden of proof of loss.
collection: code
id: 11-4-403
cite_as: O.C.G.A. § 11-4-403 (2025)
canonical_url: https://georgiacommons.org/code/11-4-403
md_url: https://georgiacommons.org/code/11-4-403.md
text_url: https://georgiacommons.org/code/11-4-403/text
source_url: https://www.legis.ga.gov/api/document/docs/default-source/joint-features-document-library/t11-(v9)-pdf.pdf?sfvrsn=df925151_0#page=44
date: 2025
status: active
corpus_version: 2025-supplement-89aa39ab3c68
license: CC0-1.0
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
up: https://georgiacommons.org/code/11-4.md
previous: https://georgiacommons.org/code/11-4-402.md
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index: https://georgiacommons.org/code/index.md
version: the only printed version
in_force: true
current_through: Including Acts of the 2025 Regular Session of the General Assembly
heading_path: COMMERCIAL CODE / BANK DEPOSITS AND COLLECTIONS / RELATIONSHIP BETWEEN PAYOR BANK AND ITS CUSTOMER
---

# O.C.G.A. § 11-4-403. Customer’s right to stop payment; burden of proof of loss.

(a) A customer or any person authorized to draw on the account if there is more than one person may stop payment of any item drawn on the customer’s account or close the account by an order to the bank describing the item or account with reasonable certainty received at a time and in a manner that affords the bank a reasonable opportunity to act on it before any action by the bank with respect to the item described in Code Section 11-4-303. If the signature of more than one person is required to draw on an account, any of these persons may stop payment or close the account.

(b) A stop-payment order is effective for six months, but it lapses after 14 calendar days if the original order was oral and was not confirmed in a record within that period. A stop-payment order may be renewed for additional six-month periods by a record given to the bank within a period during which the stop-payment order is effective.

(c) The burden of establishing the fact and amount of loss resulting from the payment of an item contrary to a stop-payment order or order to close an account is on the customer. The loss from payment of an item contrary to a stop-payment order may include damages for dishonor of subsequent items under Code Section 11-4-402.

## History

Code 1933, § 109A-4-403, enacted by Ga. L. 1962, p. 156, § 1; Ga. L. 1996, p. 1306, § 13; Ga. L. 2024, p. 817, § 5-23/HB 1240, effective July 1, 2024.

## Editor's Notes

Ga. L. 2024, p. 817, § 1-1/HB 1240, not codified by the General Assembly, provides: “This Act shall be known and may be cited as the ‘Uniform Commercial Code Modernization Act of 2024.’”

Ga. L. 2024, p. 817, § 1-2/HB 1240, not codified by the General Assembly, provides: “Nothing in this Act shall be construed to support, endorse, create, or implement a national digital currency.”

## Amendments

The 2024 amendment, effective July 1, 2024, in subsection (b), substituted “a record” for “writing” at the end of the first sentence and substituted “record” for “writing” in the middle of the second sentence.