N.Y. UCC Law § 4-A-204

Section 4-A-204. Refund of Payment and Duty of Customer to Report With\n Respect to Unauthorized Payment Order.\n (1) If a receiving bank accepts a payment order issued in the name of\nits customer as sender which is (a) not authorized and not effective as\nthe order of the customer under Section 4-A-202, or (b) not enforceable,\nin whole or in part, against the customer under Section 4-A-203, the\nbank shall refund any payment of the payment order received from the\ncustomer to the extent the bank is not entitled to enforce payment and\nshall pay interest on the refundable amount calculated from the date the\nbank received payment to the date of the refund. However, the customer\nis not entitled to interest from the bank on the amount to be refunded\nif the customer fails to exercise ordinary care to determine that the\norder was not authorized by the customer and to notify the bank of the\nrelevant facts within a reasonable time not exceeding ninety days after\nthe date the customer received notification from the bank that the order\nwas accepted or that the customer's account was debited with respect to\nthe order. The bank is not entitled to any recovery from the customer on\naccount of a failure by the customer to give notification as stated in\nthis section.\n (2) Reasonable time under subsection (1) may be fixed by agreement as\nstated in subsection (b) of Section 1--302, but the obligation of a\nreceiving bank to refund payment as stated in subsection (b) may not\notherwise be varied by agreement.\n