(a) A person who, having executed and delivered to another person a check or draft drawn on or payable at a bank or other financial institution, with fraudulent intent, which may be inferred as provided by § 39-14-121, either stops payment on the check or draft, or allows the check or draft to be dishonored by a financial institution because of lack of funds, failure to have an account, or lack of an authorized signature of the drawer or necessary endorser, is, if found liable to the holder on the check or draft in a civil action, liable for:

(1) The face amount of the check dishonored;

(2) Interest at the rate of ten percent (10%) per annum on the face amount or the remaining unpaid balance of the check or draft from the date of its execution until payment is made in full;

(3) Any reasonable service charges incurred by the payee in attempting to obtain payment by the bank or other financial institution;

(4) Court costs incurred in bringing the civil action which is brought by the holder to collect on the check or draft; and

(5) Reasonable attorney fees incurred by the holder.

(b) This section does not apply to a person who has so allowed a check or draft to be dishonored if, within ten (10) days after the holder has given notice that the check or draft has not been paid by the financial institution, the person pays to the holder the full amount of the check or draft. Such a payment is effective for all purposes as of the date it is made.

(c) For purposes of this section, notice that a check or draft has not been paid by the financial institution is considered as having been given at the time that the notice was deposited in the regular United States mail, if the notice was addressed to either:

(1) The address printed on the check or draft; or

(2) The address given by the person in writing to the payee or holder at the time the check or draft was issued or delivered.

(d) If the person who executed and delivered the check does not pay to the holder the full amount of the check or draft within thirty (30) days following certified mailing of written notice that the check or draft has not been paid and that treble damages will be sought, upon finding of fraudulent intent, the person is liable for, and the court shall award judgment for, treble the face amount of the check or draft. However, the amount awarded in addition to the face amount of the check or draft may not exceed five hundred dollars ($500).

(e) A person must elect whether to pursue the claim either under this section or under title 39, chapter 14, part 1.

(f) Subsection (d) does not apply to a person who has allowed a check or draft to be dishonored because of lack of funds, if that person reasonably believed that there were sufficient funds in the account to cover the check or draft or if the insufficiency of funds is caused by the dishonoring of a check or draft from a third party that had been deposited into the account of the person who executed the check.