These warranties constitute the major obligations of persons and banks under Article 4. Each person or bank has certain responsibilities to the person who takes the instrument offered for the validity of that instrument. Warranties change to a degree under amended Article 4. Transfer warranties to a subsequent transferee or collecting bank remain much the same. Presentment warranties apply with no exception for holder in due course status.
Damages are more specific, as well.
These are warranties from one who encodes information with respect to an item that the information is correctly encoded. Retention warranties refer to those who present items pursuant to a truncation agreement and retain the original instrument while transmitting an image of it as presentation for payment. This new warranty notion follows from the concept of truncation agreement in amended Article 4. Another important amendment to Article 4 takes into account the practice of providing customers an itemized statement of items credited and debited against the customer's account in lieu of providing the actual item to the customer with the statement. However, the bank providing such a statement must keep the items or legible copies for at least seven years, and must supply at least legible copies at the customer's request.