31 CFR § 240.18 - Lack of authority to shift liability.

---
identifier: "/us/cfr/t31/s240.18"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "31 CFR § 240.18 - Lack of authority to shift liability."
title_number: 31
title_name: "Money and Finance: Treasury"
section_number: "240.18"
section_name: "Lack of authority to shift liability."
chapter_name: "FISCAL SERVICE, DEPARTMENT OF THE TREASURY"
subchapter_number: "A"
subchapter_name: "BUREAU OF THE FISCAL SERVICE"
part_number: "240"
part_name: "INDORSEMENT AND PAYMENT OF CHECKS DRAWN ON THE UNITED STATES TREASURY"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "5 U.S.C. 301; 12 U.S.C. 391; 31 U.S.C. 321, 3327, 3328, 3331, 3334, 3343, 3711, 3712, 3716, 3717; 332 U.S. 234 (1947); 318 U.S. 363 (1943)."
regulatory_source: "69 FR 61568, Oct. 19, 2004, unless otherwise noted."
cfr_part: "240"
---


# 240.18 Lack of authority to shift liability.

(a) This part neither authorizes nor directs a financial institution to debit the account of any person or to deposit any funds from any account into a suspense account or escrow account or the equivalent. Nothing in this part shall be construed to affect a financial institution's contract with its depositor(s) under authority of state law.

(b) A financial institution's liability under this part is not affected by any action taken by it to recover from any person the amount of the financial institution's liability to the Treasury.