The depository bank warrants to the drawee bank that an item does not contain any forged or unauthorized endorsements and that the depository bank had the right to enforce the payment of the item at the time it was transferred to the drawee bank for collection. Notice of a claim for breach of this warranty must be provided to the warrantor within 30 days after the claimant (the drawee bank) has reason to know of the breach and the identity of the warrantor. If notice is given after the 30 day period, then the warrantor (the “depository bank”) is liable for any loss caused during the initial 30 day period, but it is discharged to the extent of any loss caused by the delay of the drawee bank in giving notice of the claim. Note that the 30 day time period does not begin until the drawee bank has reason to know of the breach and the identity of the warrantor.