28-3-604. DISCHARGE BY CANCELLATION OR RENUNCIATION. (1) A person entitled to enforce an instrument, with or without consideration, may discharge the obligation of a party to pay the instrument (i) by an intentional voluntary act, such as surrender of the instrument to the party, destruction, mutilation or cancellation of the instrument, cancellation or striking out of the party’s signature, or the addition of words to the instrument indicating discharge, or (ii) by agreeing not to sue or otherwise renouncing rights against the party by a signed writing.
(2) Cancellation or striking out of an indorsement pursuant to subsection (1) of this section does not affect the status and rights of a party derived from the indorsement.
History:
[28-3-604, added 1993, ch. 288, sec. 2, p. 1051.]
Structure Idaho Code
Title 28 - COMMERCIAL TRANSACTIONS
Chapter 3 - UNIFORM COMMERCIAL CODE — NEGOTIABLE INSTRUMENTS
Part 6 - DISCHARGE AND PAYMENT
Section 28-3-601 - DISCHARGE AND EFFECT OF DISCHARGE.
Section 28-3-603 - TENDER OF PAYMENT.
Section 28-3-604 - DISCHARGE BY CANCELLATION OR RENUNCIATION.
Section 28-3-605 - DISCHARGE OF INDORSERS AND ACCOMMODATION PARTIES.