> is timeout usually implemented for
> serial send and receive?

I always do it. Serial send does not require a timeout at many cases, it may help only to detect that corresponding timer is not running. So if you play with, say, Timer 1 too, an send timeout is a good solution.

The project with NO serial (or any) timeouts should have an Reset button and pressing it at any time should be obvious thing :)
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Tomas