Ask a question on the site
Questions
Lawyers
Blogs
Legislation
Contacts
Become a lawyer
Login Registration
174-1962-3-1 - Part 1 General Provisions and Definitions (440.3101...440.3122)
Section 440.3101 - Short Title; Article. - Sec. 3101. This article shall be known and may be...
Section 440.3102 - Scope; Limitations; Conflict of Laws. - Sec. 3102. (1) This article applies to negotiable instruments. It...
Section 440.3103 - Definitions; Principles of Construction. - Sec. 3103. (1) As used in this article: (a) "Acceptor"...
Section 440.3104 - Additional Definitions. - Sec. 3104. (1) Except as provided in subsections (3) and...
Section 440.3105 - “Issue” and “Issuer” Defined; Effect of Unissued or Conditionally Issued Instrument. - Sec. 3105. (1) "Issue" means the first delivery of an...
Section 440.3106 - Unconditional Status of Promise or Order. - Sec. 3106. (1) Except as provided in this section, for...
Section 440.3107 - Payment in Foreign Money. - Sec. 3107. Unless the instrument otherwise provides, an instrument that...
Section 440.3108 - Instrument Payable on Demand, at Definite Time, or at Fixed Date. - Sec. 3108. (1) A promise or order is "payable on...
Section 440.3109 - Promise or Order; Payable on Demand; Payable at Definite Time; Instrument Payable at Fixed Date. - Sec. 3109. (1) A promise or order is payable to...
Section 440.3110 - Determination of Person Payable; Intent; Signature by Automated Means; Determining Holder; Instrument Payable to 2 or More Persons. - Sec. 3110. (1) The person to whom an instrument is...
Section 440.3111 - Place of Payment. - Sec. 3111. Except as otherwise provided for items in article...
Section 440.3112 - Interest. - Sec. 3112. (1) Unless otherwise provided in the instrument: (a)...
Section 440.3113 - Instrument Antedated, Postdated, or Undated. - Sec. 3113. (1) An instrument may be antedated or postdated....
Section 440.3114 - Instrument; Contradictory Terms. - Sec. 3114. If an instrument contains contradictory terms, typewritten terms...
Section 440.3115 - Incomplete Instrument; Definition; Enforcement; Alteration; Burden. - Sec. 3115. (1) "Incomplete instrument" means a signed writing, whether...
Section 440.3116 - Joint and Several Liability. - Sec. 3116. (1) Except as otherwise provided in the instrument,...
Section 440.3117 - Obligation Modified, Supplemented, or Nullified by Separate Agreement. - Sec. 3117. Subject to applicable law regarding exclusion of proof...
Section 440.3118 - Action to Enforce Obligation; Commencement; Time Period; Other Actions. - Sec. 3118. (1) Except as provided in subsection (5), an...
Section 440.3119 - Notice of Litigation to Answerable Third Party. - Sec. 3119. In an action for breach of an obligation...
Section 440.3120-440.3122 - Repealed. 1993, Act 130, Eff. Sept. 30, 1993. - Compiler's Notes: The repealed sections pertained to instruments payable through...
174-1962-3-2 - Part 2 Negotiation, Transfer, and Endorsement (440.3201...440.3208)
Section 440.3201 - Negotiation; Definition; Transfer of Possession. - Sec. 3201. (1) "Negotiation" means a transfer of possession, whether...
Section 440.3202 - Negotiation; Effective Although Subject to Rescission or Other Remedies. - Sec. 3202. (1) Negotiation is effective even if obtained (i)...
Section 440.3203 - Transfer of Instrument; Delivery; Rights of Transferee; Effect of Transfer of Less Than Entire Instrument. - Sec. 3203. (1) An instrument is transferred when it is...
Section 440.3204 - “Endorsement” and “Endorser” Defined; Transfer of Security Interest Effective as Unqualified Endorsement; Instrument Payable to Name Other Than Holder. - Sec. 3204. (1) "Endorsement" means a signature, other than that...
Section 440.3205 - Special Endorsement; Blank Endorsement; Conversion; “Anomalous Endorsement” Defined. - Sec. 3205. (1) If an endorsement is made by the...
Section 440.3206 - Endorsement; Limitation; Condition; Words Indicating Collection by Bank; Endorsee as Agent, Trustee, or Other Fiduciary; Purchaser as Holder in Due Course; Exception; Defense. - Sec. 3206. (1) An endorsement limiting payment to a particular...
Section 440.3207 - Instrument; Reacquisition. - Sec. 3207. Reacquisition of an instrument occurs if it is...
Section 440.3208 - Repealed. 1993, Act 130, Eff. Sept. 30, 1993. - Compiler's Notes: The repealed section pertained to reacquisition of instruments.
174-1962-3-3 - Part 3 Enforcement of Instruments (440.3301...440.3312)
Section 440.3301 - Instrument; Person Entitled to Enforce. - Sec. 3301. "Person entitled to enforce" an instrument means (i)...
Section 440.3302 - Holder in Due Course; Notice of Discharge as Effective Against Holder; Rights of Holder; Time and Manner of Notice; Section Subject to Law Limiting Status. - Sec. 3302. (1) Subject to subsection (3) and section 3106(4),...
Section 440.3303 - Instrument Issued or Transferred for Value; Consideration. - Sec. 3303. (1) An instrument is issued or transferred for...
Section 440.3304 - Instruments Payable on Demand or Payable at Definite Time as Overdue; Conditions. - Sec. 3304. (1) An instrument payable on demand becomes overdue...
Section 440.3305 - Right to Enforce Obligation; Defenses or Claims Available; Statement; Section Subject to Other Law. - Sec. 3305. (1) Except as otherwise provided in this section,...
Section 440.3306 - Instrument; Person Subject to Claim of Property or Possessory Right. - Sec. 3306. A person taking an instrument, other than a...
Section 440.3307 - Fiduciary Duty; Breach. - Sec. 3307. (1) As used in this section: (a) "Fiduciary"...
Section 440.3308 - Establishing Validity of Signature; Burden; Right to Payment Subject to Defense or Claim in Recoupment; Holder in Due Course Not Subject to Defense or Claim. - Sec. 3308. (1) In an action with respect to an...
Section 440.3309 - Enforcement of Instrument in Which Loss of Possession Occurred. - Sec. 3309. (1) A person not in possession of an...
Section 440.3310 - Certified Check, Cashier's Check, or Teller's Check; Discharge; Note or Uncertified Check; Suspension of Obligation; Other Instruments. - Sec. 3310. (1) Unless otherwise agreed, if a certified check,...
Section 440.3311 - Discharge; Tender as Full Satisfaction of Claim. - Sec. 3311. (1) If a person against whom a claim...
Section 440.3312 - Definitions; Asserting Claim to Amount of Check by Communication to Obligated Bank; Delivery of Declaration of Loss; Claim Asserted in Compliance With Subsection (2); Duties of Claimant if Presentment by Holder in Due Course; Right... - Sec. 3312. (1) As used in this section: (a) "Check"...
174-1962-3-4 - Part 4 Liability of Parties (440.3401...440.3420)
Section 440.3401 - Liability; Signature. - Sec. 3401. (1) A person is not liable on an...
Section 440.3402 - Liability of Parties; Signature by Authorized Representative. - Sec. 3402. (1) If a person acting, or purporting to...
Section 440.3403 - Unauthorized Signature; Effect. - Sec. 3403. (1) Unless otherwise provided in this article or...
Section 440.3404 - Imposter; Inducing Issuance of Instrument; Endorsement in Name of Payee; Failure to Exercise Ordinary Care. - Sec. 3404. (1) If an imposter, by use of the...
Section 440.3405 - Definitions; Fraudulent Endorsement by Employee or Person Acting in Concert With Employee. - Sec. 3405. (1) As used in this section: (a) "Employee"...
Section 440.3406 - Failure to Exercise Ordinary Care Contributing to Alteration or Forged Instrument; Allocation of Loss; Burden of Proof. - Sec. 3406. (1) A person whose failure to exercise ordinary...
Section 440.3407 - Alteration; Definition; Discharge of Party Affected; Enforcement of Rights. - Sec. 3407. (1) "Alteration" means (i) an unauthorized change in...
Section 440.3408 - Check or Draft; Operation as Assignment. - Sec. 3408. A check or other draft does not of...
Section 440.3409 - Acceptance of Draft; Definition; Operation; “Certified Check” Defined; Refusal to Certify. - Sec. 3409. (1) "Acceptance" means the drawee's signed agreement to...
Section 440.3410 - Acceptance Varying From Terms of Draft. - Sec. 3410. (1) If the terms of a drawee's acceptance...
Section 440.3411 - Obligated Bank; Definition; Refusal to Pay Check; Expenses or Damages Not Recoverable. - Sec. 3411. (1) As used in this section, "obligated bank"...
Section 440.3412 - Note, Cashier's Check, or Other Draft; Obligation of Issuer to Pay According to Terms. - Sec. 3412. The issuer of a note or cashier's check...
Section 440.3413 - Draft; Obligation to Pay According to Terms; Amount. - Sec. 3413. (1) The acceptor of a draft is obliged...
Section 440.3414 - Applicability of Section; Unaccepted Draft; Dishonor; Payment According to Terms; Acceptance by Bank; Discharge of Drawer; Obligation of Drawer if Acceptor Not Bank and Draft Dishonored; Disclaimer of Liability; Suspension of Payme... - Sec. 3414. (1) This section does not apply to cashier's...
Section 440.3415 - Dishonored Instrument; Obligation and Liability of Endorser. - Sec. 3415. (1) Subject to subsections (2), (3), (4), and...
Section 440.3416 - Transfer of Instrument for Consideration; Endorsement; Warranties. - Sec. 3416. (1) A person who transfers an instrument for...
Section 440.3417 - Presentment of Unaccepted or Dishonored Draft; Rights of Parties. - Sec. 3417. (1) If an unaccepted draft is presented to...
Section 440.3418 - Payment or Acceptance by Mistake. - Sec. 3418. (1) Except as provided in subsection (3), if...
Section 440.3419 - Accommodation Parties. - Sec. 3419. (1) If an instrument is issued for value...
Section 440.3420 - Conversion. - Sec. 3420. (1) The law applicable to conversion of personal...
174-1962-3-5 - Part 5 Dishonor (440.3501...440.3511)
Section 440.3501 - Presentment; Definition; Manner; Rights of Party to Whom Presentment Is Made. - Sec. 3501. (1) "Presentment" means a demand made by or...
Section 440.3502 - Notes and Drafts; Dishonor. - Sec. 3502. (1) Dishonor of a note is governed by...
Section 440.3503 - Notice of Dishonor; Manner; Sufficiency; Time Periods. - Sec. 3503. (1) The obligation of an endorser stated in...
Section 440.3504 - Presentment, Notice of Dishonor, or Delay in Giving Notice of Dishonor; Conditions for Excuse. - Sec. 3504. (1) Presentment for payment or acceptance of an...
Section 440.3505 - Admissible Evidence Creating Presumption of Dishonor; Protest. - Sec. 3505. (1) The following are admissible as evidence and...
Section 440.3506-440.3511 - Repealed. 1993, Act 130, Eff. Sept. 30, 1993. - Compiler's Notes: The repealed sections pertained to presentment, dishonor, notice...
174-1962-3-6 - Part 6 Discharge and Payment (440.3601...440.3606)
Section 440.3601 - Discharge; Effect Against Holder in Due Course. - Sec. 3601. (1) The obligation of a party to pay...
Section 440.3602 - Discharge; Payment; "Signed" Defined. - Sec. 3602. (1) Subject to subsection (5), an instrument is...
Section 440.3603 - Tender of Payment; Effect; Refusal of Tender as Discharge; Interest; Obligor Ready and Able to Pay on Due Date. - Sec. 3603. (1) If tender of payment of an obligation...
Section 440.3604 - Discharge by Intentional Voluntary Act; Canceling or Striking Out Endorsement; "Signed" Defined. - Sec. 3604. (1) A person entitled to enforce an instrument,...
Section 440.3605 - Secondary Obligor; Rights and Duties; Agreement to Modification or to Extend Time When Payments Are Due; Obligation Secured by Interest in Collateral; Discharge; Impairing Value of Interest in Collateral; Knowledge of Accommodation... - Sec. 3605. (1) If a person entitled to enforce an...
Section 440.3606 - Repealed. 1993, Act 130, Eff. Sept. 30, 1993. - Compiler's Notes: The repealed section pertained to discharge, impairment of...
174-1962-3-7 - Part 7 Advice of International Sight Draft (440.3701...440.3701)
Section 440.3701 - Repealed. 1993, Act 130, Eff. Sept. 30, 1993. - Compiler's Notes: The repealed section pertained to international sight draft...
174-1962-3-8 - Part 8 Miscellaneous (440.3801...440.3805)
Section 440.3801-440.3805 - Repealed. 1993, Act 130, Eff. Sept. 30, 1993. - Compiler's Notes: The repealed sections pertained to negotiation, endorsement, acceptance,...