Vermont § 214 - § 4—214.

§ 214. § 4—214.

• Right of charge-back or refund; liability of collecting bank; return of item (a) If a collecting bank has made provisional settlement with its customer for an item
  and fails by reason of dishonor, suspension of payments by a bank, or otherwise to
  receive settlement for the item which is or becomes final, the bank may revoke the
  settlement given by it, charge back the amount of any credit given for the item to
  its customer’s account, or obtain refund from its customer, whether or not it is able
  to return the item, if by its midnight deadline or within a longer reasonable time
  after it learns the facts it returns the item or sends notification of the facts.
  If the return or notice is delayed beyond the bank’s midnight deadline or a longer
  reasonable time after it learns the facts, the bank may revoke the settlement, charge
  back the credit, or obtain refund from its customer, but it is liable for any loss
  resulting from the delay. These rights to revoke, charge back, and obtain refund terminate
  if and when a settlement for the item received by the bank is or becomes final. (b) A collecting bank returns an item when it is sent or delivered to the bank’s customer
  or transferor or pursuant to its instructions. (c) A depositary bank that is also the payor may charge back the amount of an item to its customer’s account or obtain refund in accordance with the section governing return of an item received by a payor bank for credit on its books (§ 4—301). (d) The right to charge back is not affected by: (1) previous use of a credit given for the item; or (2) failure by any bank to exercise ordinary care with respect to the item, but a bank
  so failing remains liable. (e) A failure to charge back or claim refund does not affect other rights of the bank
  against the customer or any other party. (f) If credit is given in dollars as the equivalent of the value of an item payable in
  foreign money, the dollar amount of any charge-back or refund shall be calculated
  on the basis of the bank-offered spot rate for the foreign money prevailing on the
  day when the person entitled to the charge-back or refund learns that it will not
  receive payment in ordinary course. (Added 1993, No. 158 (Adj. Sess.), § 13, eff. Jan. 1, 1995.)