When Returning Items to a Reserve Bank, the Paying and Returning

When returning items to a Reserve Bank, the paying and returning banks:

A) Cannot disclaim the warranties, authorizations, and agreements whether or not the returned check bears an endorsement of the paying bank or returning bank
B) Authorize the Reserve Bank to handle the item in accordance with Regulation J and the operating circulars
C) Warrant that the check bears all endorsements applied by all parties that handled the check in paper or electronic form
D) will not be liable for the failure of a paying bank, collecting bank, or a nonbank payer to pay for an item