Portia Moot agreed to buy a car from her uncle who lived in another state, but the uncle demanded a cashier's check in payment. On February 24, Portia obtained such a check for the correct amount from Octopus National Bank (ONB), which took a corresponding amount from her bank account, making the check payable to the order of Portia Moot. Portia signed her name to the back of the check and mailed it to her uncle. The uncle denied receiving the check (a lie), and Portia went down to ONB and filled out a declaration of loss on March 1. Having heard nothing during the next 90 days, on June 1, the bank refunded the money to Portia. In the meantime, the uncle cashed the check at his local bank on May 25th. Assume that the local bank qualifies as a holder in due course. What should ONB do when the local bank presents the check on June 2 and demands payment? See 3-312(b)(2) and Official Comment 3 (second paragraph). If ONB won't pay, what should the local bank do? See 3-312(c); 3-415; Willis v. Wells Fargo Bank, N.A., 2012 WL 112942 (E.D. Va. 2012)