|
|
Court OpinionsState LawsUS CodeUS Constitution |
Texas Business & Commerce Code - Chapter 3 Negotiable InstrumentsLegal Research Home > Texas Lawyer > Business & Commerce Code > Texas Business & Commerce Code - Chapter 3 Negotiable Instruments Sponsored LinksThis chapter may be cited as Uniform Commercial Code-Negotiable Instruments. Amended by Acts 1995, 74th Leg., ch. 921, § 1, eff. Jan. 1, 1996. ... (a) This chapter applies to negotiable instruments. It does not apply to money, to payment orders governed by Chapter 4A, or to securities governed by ... (a) In this chapter: (1) "Acceptor" means a drawee who has accepted a draft. (2) "Consumer account" means an account established by an individual primarily ... (a) Except as provided in Subsections (c) and (d), "negotiable instrument" means an unconditional promise or order to pay a fixed amount of money, with ... (a) "Issue" means the first delivery of an instrument by the maker or drawer, whether to a holder or nonholder, for the purpose of giving ... (a) Except as provided in this section, for the purposes of Section 3.104(a), a promise or order is unconditional unless it states (i) an express ... Unless the instrument otherwise provides, an instrument that states the amount payable in foreign money may be paid in the foreign money or in an ... (a) A promise or order is "payable on demand" if it: (1) states that it is payable on demand or at sight, or otherwise indicates ... (a) A promise or order is payable to bearer if it: (1) states that it is payable to bearer or to the order of bearer ... (a) The person to whom an instrument is initially payable is determined by the intent of the person, whether or not authorized, signing as, or ... Except as otherwise provided for items in Chapter 4, an instrument is payable at the place of payment stated in the instrument. If no place ... (a) Unless otherwise provided in the instrument: (1) an instrument is not payable with interest; and (2) interest on an interest-bearing instrument is payable from ... (a) An instrument may be antedated or postdated. The date stated determines the time of payment if the instrument is payable at a fixed period ... If an instrument contains contradictory terms, typewritten terms prevail over printed terms, handwritten terms prevail over both, and words prevail over numbers. Amended by Acts ... (a) "Incomplete instrument" means a signed writing, whether or not issued by the signer, the contents of which show at the time of signing that ... (a) Except as otherwise provided in the instrument, two or more persons who have the same liability on an instrument as makers, drawers, acceptors, indorsers ... Subject to applicable law regarding exclusion of proof of contemporaneous or previous agreements, the obligation of a party to an instrument to pay the instrument ... (a) Except as provided in Subsection (e), an action to enforce the obligation of a party to pay a note payable at a definite time ... In an action for breach of an obligation for which a third person is answerable over pursuant to this chapter or Chapter 4, the defendant ... (a) "Negotiation" means a transfer of possession, whether voluntary or involuntary, of an instrument by a person other than the issuer to a person who ... (a) Negotiation is effective even if obtained: (1) from an infant, a corporation exceeding its powers, or a person without capacity; (2) by fraud, duress, ... (a) An instrument is transferred when it is delivered by a person other than its issuer for the purpose of giving to the person receiving ... (a) "Indorsement" means a signature, other than that of a signer as maker, drawer, or acceptor, that alone or accompanied by other words is made ... (a) If an indorsement is made by the holder of an instrument, whether payable to an identified person or payable to bearer, and the indorsement ... (a) An indorsement limiting payment to a particular person or otherwise prohibiting further transfer or negotiation of the instrument is not effective to prevent further ... Reacquisition of an instrument occurs if it is transferred to a former holder, by negotiation or otherwise. A former holder who reacquires the instrument may ... "Person entitled to enforce" an instrument means (i) the holder of the instrument, (ii) a nonholder in possession of the instrument who has the rights ... (a) Subject to Subsection (c) and Section 3.106(d), "holder in due course" means the holder of an instrument if: (1) the instrument when issued or ... (a) An instrument is issued or transferred for value if: (1) the instrument is issued or transferred for a promise of performance, to the extent ... (a) An instrument payable on demand becomes overdue at the earliest of the following times: (1) on the day after the day demand for payment ... (a) Except as otherwise provided in this section, the right to enforce the obligation of a party to pay an instrument is subject to the ... A person taking an instrument, other than a person having rights of a holder in due course, is subject to a claim of a property ... (a) In this section: (1) "Fiduciary" means an agent, trustee, partner, corporate officer or director, or other representative owing a fiduciary duty with respect to ... (a) In an action with respect to an instrument, the authenticity of, and authority to make, each signature on the instrument are admitted unless specifically ... (a) A person who is not in possession of an instrument is entitled to enforce the instrument if: (1) the person seeking to enforce the ... (a) Unless otherwise agreed, if a certified check, cashier's check, or teller's check is taken for an obligation, the obligation is discharged to the same ... (a) Subsections (b)-(d) apply if a person against whom a claim is asserted proves that: (1) that person in good faith tendered an instrument to ... (a) In this section: (1) "Check" means a cashier's check, teller's check, or certified check. (2) "Claimant" means a person who claims the right to ... (a) A person is not liable on an instrument unless the person: (1) signed the instrument; or (2) is represented by an agent or representative ... (a) If a person acting, or purporting to act, as a representative signs an instrument by signing either the name of the represented person or ... (a) Unless otherwise provided in this chapter or Chapter 4, an unauthorized signature is ineffective except as the signature of the unauthorized signer in favor ... (a) If an impostor, by use of the mails or otherwise, induces the issuer of an instrument to issue the instrument to the impostor, or ... (a) In this section: (1) "Employee" includes an independent contractor and employee of an independent contractor retained by the employer. (2) "Fraudulent indorsement" means: (A) ... (a) A person whose failure to exercise ordinary care substantially contributes to an alteration of an instrument or to the making of a forged signature ... (a) "Alteration" means: (1) an unauthorized change in an instrument that purports to modify in any respect the obligation of a party; or (2) an ... A check or other draft does not of itself operate as an assignment of funds in the hands of the drawee available for its payment, ... (a) "Acceptance" means the drawee's signed agreement to pay a draft as presented. It must be written on the draft and may consist of the ... (a) If the terms of a drawee's acceptance vary from the terms of the draft as presented, the holder may refuse the acceptance and treat ... (a) In this section, "obligated bank" means the acceptor of a certified check or the issuer of a cashier's check or teller's check bought from ... The issuer of a note or cashier's check or other draft drawn on the drawer is obliged to pay the instrument (i) according to its ... (a) The acceptor of a draft is obliged to pay the draft (i) according to its terms at the time it was accepted, even though ... (a) This section does not apply to cashier's checks or other drafts drawn on the drawer. (b) If an unaccepted draft is dishonored, the drawer ... (a) Subject to Subsections (b), (c), (d), and (e) and to Section 3.419(d), if an instrument is dishonored, an indorser is obliged to pay the ... (a) A person who transfers an instrument for consideration warrants to the transferee and, if the transfer is by indorsement, to any subsequent transferee that: ... (a) If an unaccepted draft is presented to the drawee for payment or acceptance and the drawee pays or accepts the draft, (i) the person ... (a) Except as provided in Subsection (c), if the drawee of a draft pays or accepts the draft and the drawee acted on the mistaken ... (a) If an instrument is issued for value given for the benefit of a party to the instrument ("accommodated party") and another party to the ... (a) The law applicable to conversion of personal property applies to instruments. An instrument is also converted if it is taken by transfer, other than ... (a) "Presentment" means a demand made by or on behalf of a person entitled to enforce an instrument to: (1) pay the instrument made to ... (a) Dishonor of a note is governed by the following rules: (1) If the note is payable on demand, the note is dishonored if presentment ... (a) The obligation of an indorser stated in Section 3.415(a) and the obligation of a drawer stated in Section 3.414(d) may not be enforced unless: ... (a) Presentment for payment or acceptance of an instrument is excused if: (1) the person entitled to present the instrument cannot with reasonable diligence make ... (a) The following are admissible as evidence and create a presumption of dishonor and of any notice of dishonor stated: (1) a document regular in ... (a) For purposes of this section, "payment device" means any check, item, paper or electronic payment, or other payment device used as a medium for ... (a) The obligation of a party to pay the instrument is discharged as stated in this chapter or by an act or agreement with the ... (a) Subject to Subsection (e), an instrument is paid to the extent payment is made by or on behalf of a party obliged to pay ... (a) If tender of payment of an obligation to pay an instrument is made to a person entitled to enforce the instrument, the effect of ... (a) A person entitled to enforce an instrument, with or without consideration, may discharge the obligation of a party to pay the instrument: (1) by ... (a) If a person entitled to enforce an instrument releases the obligation of a principal obligor in whole or in part, and another party to ... Last modified: August 11, 2007 |