Ind. Code § 26-1-9.1-103 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-103
Purchase-money security interest; application of payment; burden of establishing
Status: in_force

Sec. 103. (a) In this section:

(1) "Purchase-money collateral" means goods or software that secures a purchase-money obligation incurred with respect to that collateral.

(2) "Purchase-money obligation" means an obligation of an obligor incurred as all or part of the price of the collateral or for value given to enable the debtor to acquire rights in, or the use of the collateral if the value is in fact so used.

(b) A security interest in goods is a purchase-money security interest:

(1) to the extent that the goods are purchase-money collateral with respect to that security interest;

(2) if the security interest is in inventory that is or was purchase-money collateral, also to the extent that the security interest secures a purchase-money obligation incurred with respect to other inventory in which the secured party holds or held a purchase-money security interest; and

(3) also to the extent that the security interest secures a purchase-money obligation incurred with respect to software in which the secured party holds or held a purchase-money security interest.

(c) A security interest in software is a purchase-money security interest to the extent that the security interest also secures a purchase-money obligation incurred with respect to goods in which the secured party holds or held a purchase-money security interest if:

(1) the debtor acquired its interest in the software in an integrated transaction in which it acquired an interest in the goods; and

(2) the debtor acquired its interest in the software for the principal purpose of using the software in the goods.

(d) The security interest of a consignor in goods that are the subject of a consignment is a purchase-money security interest in inventory.

(e) If the extent to which a security interest is a purchase-money security interest depends on the application of a payment to a particular obligation, the payment must be applied:

(1) in accordance with any reasonable method of application to which the parties agree;

(2) in the absence of the parties' agreement to a reasonable method, in accordance with any intention of the obligor manifested at or before the time of payment; or

(3) in the absence of an agreement to a reasonable method and a timely manifestation of the obligor's intention, in the following order:

(A) To obligations that are not secured.

(B) If more than one (1) obligation is secured, to obligations secured by purchase-money security interests in the order in which those obligations were incurred.

(f) A purchase-money security interest does not lose its status as such, even if:

(1) the purchase-money collateral also secures an obligation that is not a purchase-money obligation;

(2) collateral that is not purchase-money collateral also secures the purchase-money obligation; or

(3) the purchase-money obligation has been renewed, refinanced, consolidated, or restructured.

(g) A secured party claiming a purchase-money security interest has the burden of establishing the extent to which the security interest is a purchase-money security interest.

As added by P.L.57-2000, SEC.45.
Ind. Code § 26-4-1-25 — Indiana Code / Title 26 / Article 4 / Chapter 1 / Section 26-4-1-25
Repealed
Status: repealed

As added by P.L.250-1995, SEC.1. Repealed by P.L.32-2021, SEC.74.
Ind. Code § 26-1-8.1-105 — Indiana Code / Title 26 / Article 1 / Chapter 8.1 / Section 26-1-8.1-105
Notice of adverse claim
Status: in_force

Sec. 105. (a) A person has notice of an adverse claim if:

(1) the person knows of the adverse claim;

(2) the person is aware of facts sufficient to indicate that there is a significant probability that the adverse claim exists and deliberately avoids information that would establish the existence of the adverse claim; or

(3) the person has a duty, imposed by statute or regulation, to investigate whether an adverse claim exists, and the investigation so required would establish the existence of the adverse claim.

(b) Having knowledge that a financial asset or interest therein is or has been transferred by a representative imposes no duty of inquiry into the rightfulness of a transaction and is not notice of an adverse claim. However, a person who knows that a representative has transferred a financial asset or interest therein in a transaction that is, or whose proceeds are being used, for the individual benefit of the representative or otherwise in breach of duty has notice of an adverse claim.

(c) An act or event that creates a right to immediate performance of the principal obligation represented by a security certificate or sets a date on or after which the certificate is to be presented or surrendered for redemption or exchange does not itself constitute notice of an adverse claim except in the case of a transfer more than:

(1) one (1) year after a date set for presentment or surrender for redemption or exchange; or

(2) six (6) months after a date set for payment of money against presentation or surrender of the certificate, if money was available for payment on that date.

(d) A purchaser of a certificated security has notice of an adverse claim if the security certificate:

(1) whether in bearer or registered form, has been endorsed "for collection" or "for surrender" or for some other purpose not involving transfer; or

(2) is in bearer form and has on it an unambiguous statement that it is the property of a person other than the transferor, but the mere writing of a name on the certificate is not such a statement.

(e) Filing of a financing statement under IC 26-1-9.1 is not notice of an adverse claim to a financial asset.

As added by P.L.247-1995, SEC.10. Amended by P.L.57-2000, SEC.39.
Ind. Code § 26-1-3.1-413 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-413
Obligation of acceptor
Status: in_force

Sec. 413. (a) The acceptor of a draft is obliged to pay the draft:

(1) according to its terms at the time it was accepted, even though the acceptance states that the draft is payable "as originally drawn" or equivalent terms;

(2) if the acceptance varies the terms of the draft, according to the terms of the draft as varied; or

(3) if the acceptance is of a draft that is an incomplete instrument, according to its terms when completed, to the extent stated in IC 26-1-3.1-115 and IC 26-1-3.1-407.

The obligation is owed to a person entitled to enforce the draft or to the drawer or an endorser who paid the draft under IC 26-1-3.1-414 or IC 26-1-3.1-415.

(b) If the certification of a check or other acceptance of a draft states the amount certified or accepted, the obligation of the acceptor is that amount. If:

(1) the certification or acceptance does not state an amount;

(2) the amount of the instrument is subsequently raised; and

(3) the instrument is then negotiated to a holder in due course;

the obligation of the acceptor is the amount of the instrument at the time it was taken by the holder in due course.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-2-320 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-320
C.I.F. and C.&F. terms
Status: in_force

Sec. 320. (1) The term C.I.F. means that the price includes in a lump sum the cost of the goods and the insurance and freight to the named destination. The term C.&F. or C.F. means that the price so includes cost and freight to the named destination.

(2) Unless otherwise agreed and even though used only in connection with the stated price and destination, the term C.I.F. destination or its equivalent requires the seller at his own expense and risk to

(a) put the goods into the possession of a carrier at the port for shipment and obtain a negotiable bill or bills of lading covering the entire transportation to the named destination; and

(b) load the goods and obtain a receipt from the carrier (which may be contained in the bill of lading) showing that the freight has been paid or provided for; and

(c) obtain a policy or certificate of insurance, including any war risk insurance, of a kind and on terms then current at the port of shipment in the usual amount, in the currency of the contract, shown to cover the same goods covered by the bill of lading and providing for payment of loss to the order of the buyer or for the account of whom it may concern; but the seller may add to the price the amount of the premium for any such war risk insurance; and

(d) prepare an invoice of the goods and procure any other documents required to effect shipment or to comply with the contract; and

(e) forward and tender with commercial promptness all the documents in due form and with any endorsement necessary to perfect the buyer's rights.

(3) Unless otherwise agreed the term C.&F. or its equivalent has the same effect and imposes upon the seller the same obligations and risks as a C.I.F. term except the obligation as to insurance.

(4) Under the term C.I.F. or C.&F. unless otherwise agreed the buyer must make payment against tender of the required documents and the seller may not tender nor the buyer demand delivery of the goods in substitution for the documents.

Formerly: Acts 1963, c.317, s.2-320.
Ind. Code § 26-1-4-215 — Indiana Code / Title 26 / Article 1 / Chapter 4 / Section 26-1-4-215
Final payment of item by payor bank; when provisional debits and credits become final; when certain credits become available for withdrawal
Status: in_force

Sec. 215. (a) An item is finally paid by a payor bank when the bank has first done any of the following:

(1) Paid the item in cash.

(2) Settled for the item without having a right to revoke the settlement under statute, clearing-house rule, or agreement.

(3) Made a provisional settlement for the item and failed to revoke the settlement in the time and manner permitted by statute, clearing-house rule, or agreement.

(b) If provisional settlement for an item does not become final, the item is not finally paid.

(c) If provisional settlement for an item between the presenting and payor banks is made through a clearing house or by debits or credits in an account between them, then to the extent that provisional debits or credits for the item are entered in accounts between the presenting and payor banks or between the presenting and successive prior collecting banks seriatim, they become final upon final payment of the items by the payor bank.

(d) If a collecting bank receives a settlement for an item which is or becomes final, the bank is accountable to its customer for the amount of the item and any provisional credit given for the item in an account with its customer becomes final.

(e) Subject to (i) applicable law stating a time for availability of funds and (ii) any right of the bank to apply the credit to an obligation of the customer, credit given by a bank for an item in a customer's account becomes available for withdrawal as of right:

(1) if the bank has received a provisional settlement for the item, when the settlement becomes final and the bank has had a reasonable time to receive return of the item and the item has not been received within that time; or

(2) if the bank is both the depositary bank and the payor bank, and the item is finally paid, at the opening of the bank's second banking day following receipt of the item.

(f) Subject to applicable law stating a time for availability of funds and any right of a bank to apply a deposit to an obligation of the depositor, a deposit of money becomes available for withdrawal as of right at the opening of the bank's next banking day after receipt of the deposit.

As added by P.L.222-1993, SEC.31.
Ind. Code § 26-4-1-13 — Indiana Code / Title 26 / Article 4 / Chapter 1 / Section 26-4-1-13
"Grain"
Status: in_force

Sec. 13. "Grain" means corn for all uses, popcorn, wheat, oats, rye, soybeans, barley, sorghum, oil seeds, other agricultural commodities as approved by the agency, and seed (as defined in IC 26-3-7-2(31)). The term does not include canning crops for processing or sweet corn.

As added by P.L.250-1995, SEC.1. Amended by P.L.173-1999, SEC.15; P.L.1-2006, SEC.484; P.L.75-2010, SEC.18; P.L.60-2015, SEC.13; P.L.145-2017, SEC.12; P.L.208-2021, SEC.8; P.L.114-2025, SEC.52; P.L.23-2026, SEC.261.
Ind. Code § 26-4-1-19 — Indiana Code / Title 26 / Article 4 / Chapter 1 / Section 26-4-1-19
"Producer premium"
Status: in_force

Sec. 19. "Producer premium" means the amount of money charged to and collected from a producer under IC 26-4-4-4 that qualifies the producer to be a part of the grain indemnity program.

As added by P.L.250-1995, SEC.1.
Ind. Code § 26-3-7-31.6 — Indiana Code / Title 26 / Article 3 / Chapter 7 / Section 26-3-7-31.6
Revocation of license; revocation procedures
Status: in_force

Sec. 31.6. (a) The director may revoke a license by issuing a revocation order upon notice.

(b) If a license is revoked under this chapter, the licensee shall do the following:

(1) Immediately cease all activities covered by the revoked license.

(2) Immediately remove all public indications regarding the existence or effectiveness of the revoked license, including the copy of the license physically on display at a facility.

(3) Promptly turn over and deliver to the director or the director's designated representative all books, records, and other property related to or containing information on the activities and any obligations covered by the revoked license.

(4) Comply with any additional terms and conditions determined by the director that the revocation order imposes on the licensee.

(5) Comply with the orders from the director respecting the revoked license, any obligations or activities covered by the revoked license, or the claims administration process.

(c) Notwithstanding anything to the contrary in this chapter, a license shall be revoked automatically if the licensee has done any of, and as of the respective dates or times of, the following:

(1) Has filed a voluntary bankruptcy petition under Chapter 7 of the federal Bankruptcy Code, as of the date the licensee filed the petition.

(2) Has filed:

(A) a voluntary bankruptcy petition under Chapter 11, 12, or 13 of the federal Bankruptcy Code; and

(B) within seven (7) days of the filing of the petition, either:

(i) a liquidating plan not predicated or premised on a prior sale process under Chapter 3 of the federal Bankruptcy Code; or

(ii) an affidavit of an owner, member, director, officer, or executive of the licensee stating that the licensee intends to propose a liquidating plan without first conducting a sale process under Chapter 3 of the federal Bankruptcy Code;

as of the date the licensee filed the liquidating plan or affidavit.

(3) Is the subject of an involuntary bankruptcy petition if the bankruptcy court has entered an order for relief against the licensee, as of the date and time of the order for relief.

(4) Is the subject of a receivership order in any state court, as of the date and time of the receivership order.

(5) Is the assignor in an assignment for the benefit of creditors in any state court, as of the date and time of the filing of pleading initiating the proceeding.

(6) Is declared by any court of competent jurisdiction to be insolvent, as of the date and time of the order so declaring.

(7) Has entered into an agreement obligating the licensee to discontinue and liquidate its business, or the portion of its business covered by the license, without legal or equitable proceedings, as of the effective date of the agreement.

(8) Has stated publicly and in writing that it is in the process of discontinuing its business, or the portion of its business covered by the license, or will be liquidating immediately, as of the date and time the writing is published or made widely available.

As added by P.L.114-2025, SEC.37. Amended by P.L.23-2026, SEC.258.
Ind. Code § 26-1-2-307 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-307
Delivery in single lot or several lots
Status: in_force

Sec. 307. Unless otherwise agreed all goods called for by a contract for sale must be tendered in a single delivery and payment is due only on such tender but where the circumstances give either party the right to make or demand delivery in lots the price if it can be apportioned may be demanded for each lot.

Formerly: Acts 1963, c.317, s.2-307.
Ind. Code § 26-1-2-325 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-325
"Letter of credit"; "confirmed credit"
Status: in_force

Sec. 325. (1) Failure of the buyer seasonably to furnish an agreed letter of credit is a breach of the contract for sale.

(2) The delivery to seller of a proper letter of credit suspends the buyer's obligation to pay. If the letter of credit is dishonored, the seller may on seasonable notification to the buyer require payment directly from him.

(3) Unless otherwise agreed the term "letter of credit" or "banker's credit" in a contract for sale means an irrevocable credit issued by a financing agency of good repute and, where the shipment is overseas, of good international repute. The term "confirmed credit" means that the credit must also carry the direct obligation of such an agency which does business in the seller's financial market.

Formerly: Acts 1963, c.317, s.2-325.
Ind. Code § 26-3-7.5-6 — Indiana Code / Title 26 / Article 3 / Chapter 7.5 / Section 26-3-7.5-6
Inspection cost
Status: in_force

Sec. 6. (a) The director or the director's designated representative shall charge each inspection site a two hundred dollar ($200) fee for each moisture testing device inspected at the inspection site under this chapter.

(b) All fees collected under this section must be deposited in the grain buyers and warehouse licensing agency license fee fund established by IC 26-3-7-6.3.

As added by P.L.114-2025, SEC.43.
Ind. Code § 26-1-3.1-412 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-412
Obligation of issuer of note or cashier's check
Status: in_force

Sec. 412. The issuer of a note or cashier's check or other draft drawn on the drawer is obliged to pay the instrument:

(1) according to its terms at the time it was issued or, if not issued, at the time it first came into possession of a holder; or

(2) if the issuer signed an incomplete instrument, according to its terms when completed, to the extent stated in IC 26-1-3.1-115 and IC 26-1-3.1-407.

The obligation is owed to a person entitled to enforce the instrument or to an endorser who paid the instrument under IC 26-1-3.1-415.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-2.1-514 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-514
Waiver of lessee's objections
Status: in_force

Sec. 514. (1) In rejecting goods, a lessee's failure to state a particular defect that is ascertainable by reasonable inspection precludes the lessee from relying on the defect to justify rejection or to establish default:

(a) if, stated seasonably, the lessor or the supplier could have cured it (IC 26-1-2.1-513); or

(b) between merchants if the lessor or the supplier after rejection has made a request in writing for a full and final written statement of all defects on which the lessee proposes to rely.

(2) A lessee's failure to reserve rights when paying rent or other consideration against documents precludes recovery of the payment for defects apparent in the documents.

As added by P.L.189-1991, SEC.3. Amended by P.L.143-2007, SEC.20.
Ind. Code § 26-1-4.1-304 — Indiana Code / Title 26 / Article 1 / Chapter 4.1 / Section 26-1-4.1-304
Duty of sender to report erroneously executed payment order
Status: in_force

Sec. 304. If the sender of a payment order that is erroneously executed as stated in IC 26-1-4.1-303 receives notification from the receiving bank that the order was executed or that the sender's account was debited with respect to the order, the sender has a duty to exercise ordinary care to determine, on the basis of information available to the sender, that the order was erroneously executed and to notify the bank of the relevant facts within a reasonable time not exceeding ninety (90) days after the notification from the bank was received by the sender. If the sender fails to perform that duty, the bank is not obliged to pay interest on any amount refundable to the sender under IC 26-1-4.1-402(d) for the period before the bank learns of the execution error. The bank is not entitled to any recovery from the sender on account of a failure by the sender to perform the duty stated in this section.

As added by P.L.189-1991, SEC.4.
Ind. Code § 26-3-7-15 — Indiana Code / Title 26 / Article 3 / Chapter 7 / Section 26-3-7-15
Grain inventories; sufficiency for outstanding warehouse receipts or other storage obligations
Status: in_force

Sec. 15. (a) A licensee shall maintain inventories of sufficient quantity and grade of grain to meet the licensee's storage obligations.

(b) Inventories representing grain evidenced by outstanding warehouse receipts shall be maintained in the warehouse shown on the warehouse receipt issued by the warehouse in which the grain was originally deposited.

(c) Inventories representing storage obligations other than those evidenced by warehouse receipts may be represented by:

(1) receipts for grain stored in a facility licensed under this chapter;

(2) receipts in a warehouse licensed and bonded under the warehouse act; or

(3) other warehouse receipts or tickets as approved by the director.

Formerly: Acts 1973, P.L.268, SEC.1; Acts 1974, P.L.120, SEC.9. As amended by Acts 1979, P.L.249, SEC.9; P.L.125-1997, SEC.33.
Ind. Code § 26-2-6-6 — Indiana Code / Title 26 / Article 2 / Chapter 6 / Section 26-2-6-6
Violations; action for recovery of penalties
Status: in_force

Sec. 6. (a) A person who knowingly violates this chapter commits a Class C infraction. Each violation of this chapter constitutes a separate infraction.

(b) In addition to any other available legal remedy, a person who violates the terms of an injunction issued under section 5 of this chapter commits a Class A infraction. Each violation of the terms of an injunction issued under section 5 of this chapter constitutes a separate infraction. Whenever the court determines that the terms of an injunction issued under section 5 of this chapter have been violated, the court shall award reasonable costs to the state.

(c) Notwithstanding IC 34-28-5-1(a), the prosecuting attorney or the attorney general in the name of the state may bring an action to petition for the recovery of the penalties outlined in this section.

As added by P.L.254-1983, SEC.2. Amended by P.L.1-1998, SEC.137; P.L.101-2009, SEC.15; P.L.198-2016, SEC.658.
Ind. Code § 26-1-8.1-205 — Indiana Code / Title 26 / Article 1 / Chapter 8.1 / Section 26-1-8.1-205
Effect of unauthorized signature or certificate
Status: in_force

Sec. 205. An unauthorized signature placed on a security certificate before or in the course of issue is ineffective, but the signature is effective in favor of a purchaser for value of the certificated security if the purchaser is without notice of the lack of authority and the signing has been done by:

(1) an authenticating trustee, a registrar, a transfer agent, or other person entrusted by the issuer with the signing of the security certificate or of similar security certificates, or the immediate preparation for signing of any of them; or

(2) an employee of the issuer, or of any of the persons listed in subdivision (1), entrusted with responsible handling of the security certificate.

As added by P.L.247-1995, SEC.10.
Ind. Code § 26-3-8-11.5 — Indiana Code / Title 26 / Article 3 / Chapter 8 / Section 26-3-8-11.5
Late fee for renter's default; owner's recovery of costs and expenses of rent collection and lien enforcement
Status: in_force

Sec. 11.5. (a) For each month a renter is in default under the rental agreement, an owner may impose and collect a late fee that does not exceed the greater of the following:

(1) Twenty dollars ($20).

(2) Twenty percent (20%) of the monthly rent.

(b) In addition to a late fee authorized under subsection (a), an owner may recover from a renter all reasonable costs and expenses of:

(1) rent collection; and

(2) lien enforcement;

incurred by the owner as a result of the renter's default.

As added by P.L.36-2018, SEC.2.
Ind. Code § 26-3-7-9 — Indiana Code / Title 26 / Article 3 / Chapter 7 / Section 26-3-7-9
Bond, cash deposit, or letter of credit
Status: in_force

Sec. 9. (a) Each applicant for a license under this chapter shall, as a condition of licensure, file or have on file with the director:

(1) a cash deposit;

(2) an irrevocable letter of credit;

(3) a bond; or

(4) any combination of the above;

as provided in section 10 of this chapter.

(b) A bond filed under this chapter shall:

(1) be conditioned upon the faithful performance of all obligations of the licensee under this chapter and the rules adopted under this chapter from the effective date of the bond until the earlier of the date the license is revoked or the bond is canceled as provided in this chapter; and

(2) be further conditioned upon the faithful performance of all obligations from the effective date of the bond and thereafter, regardless of whether the licensee's facility or facilities exist on the effective date of the bond or are thereafter assumed prior to the date the licensee's license is revoked or the bond is canceled as provided in this chapter.

(c) The bond must remain in effect during a violation or a period during which the licensee is subject to a cease and desist order.

Formerly: Acts 1973, P.L.268, SEC.1; Acts 1974, P.L.120, SEC.6; Acts 1975, P.L.277, SEC.6. As amended by Acts 1979, P.L.249, SEC.5; Acts 1982, P.L.155, SEC.8; P.L.191-1991, SEC.6; P.L.125-1997, SEC.28; P.L.173-1999, SEC.5; P.L.114-2025, SEC.18.
Ind. Code § 26-1-2-201 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-201
Formal requirements; statute of frauds
Status: in_force

Sec. 201. (1) Except as otherwise provided in this section, a contract for the sale of goods for the price of five hundred dollars ($500) or more is not enforceable by way of action or defense unless there is a record sufficient to indicate that a contract for sale has been made between the parties and signed by the party against whom enforcement is sought or by the party's authorized agent or broker. A record is not insufficient because it omits or incorrectly states a term agreed upon, but the contract is not enforceable under this section beyond the quantity of goods shown in the record.

(2) Between merchants, if within a reasonable time a record in confirmation of the contract and sufficiently against the sender is received and the party receiving it has reason to know its contents, it satisfies the requirements of subsection (1) against the party unless notice in a record of objection to its contents is given within ten (10) days after it is received.

(3) A contract which does not satisfy the requirements of subsection (1) but which is valid in other respects is enforceable:

(a) if the goods are to be specially manufactured for the buyer and are not suitable for sale to others in the ordinary course of the seller's business and the seller, before notice of repudiation is received and under circumstances which reasonably indicate that the goods are for the buyer, has made either a substantial beginning of their manufacture or commitments for their procurement; or

(b) if the party against whom enforcement is sought admits in his pleading, testimony, or otherwise in court that a contract for sale was made, but the contract is not enforceable under this provision beyond the quantity of goods admitted; or

(c) with respect to goods for which payment has been made and accepted or which have been received and accepted (IC 26-1-2-606).

Formerly: Acts 1963, c.317, s.2-201. As amended by P.L.152-1986, SEC.125; P.L.199-2023, SEC.5.
Ind. Code § 26-1-2-706 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-706
Seller's resale, including contract for resale
Status: in_force

Sec. 706. (1) Under the conditions stated in IC 26-1-2-703 on seller's remedies, the seller may resell the goods concerned or the undelivered balance thereof. Where the resale is made in good faith and in a commercially reasonable manner, the seller may recover the difference between the resale price and the contract price together with any incidental damages allowed under the provisions of IC 26-1-2-710, but less expenses saved in consequence of the buyer's breach.

(2) Except as otherwise provided in subsection (3) or unless otherwise agreed, resale may be at public or private sale including sale by way of one (1) or more contracts to sell or of identification to an existing contract of the seller. Sale may be as a unit or in parcels and at any time and place and on any terms, but every aspect of the sale including the method, manner, time, place, and terms must be commercially reasonable. The resale must be reasonably identified as referring to the broken contract, but it is not necessary that the goods be in existence or that any or all of them have been identified to the contract before the breach.

(3) Where the resale is at private sale, the seller must give the buyer reasonable notification of his intention to resell.

(4) Where the resale is at public sale:

(a) only identified goods can be sold except where there is a recognized market for a public sale of futures in goods of the kind; and

(b) it must be made at a usual place or market for public sale if one is reasonably available and, except in the case of goods which are perishable or threaten to decline in value speedily, the seller must give the buyer reasonable notice of the time and place of the resale; and

(c) if the goods are not to be within the view of those attending the sale, the notification of sale must state the place where the goods are located and provide for their reasonable inspection by prospective bidders; and

(d) the seller may buy.

(5) A purchaser who buys in good faith at a resale takes the goods free of any rights of the original buyer even though the seller fails to comply with one (1) or more of the requirements of this section.

(6) The seller is not accountable to the buyer for any profit made on any resale. A person in the position of a seller (IC 26-1-2-707) or a buyer who has rightfully rejected or justifiably revoked acceptance must account for any excess over the amount of his security interest, as hereinafter defined (IC 26-1-2-711(3)).

Formerly: Acts 1963, c.317, s.2-706. As amended by P.L.152-1986, SEC.165.
Ind. Code § 26-2-3-14 — Indiana Code / Title 26 / Article 2 / Chapter 3 / Section 26-2-3-14
Judgment and execution
Status: in_force

Sec. 14. Upon any instrument of writing, made within this state or elsewhere, containing a promise to pay money without relief from valuation laws, judgment shall be rendered and execution had accordingly.

Formerly: Acts 1861, c.75, s.15.
Ind. Code § 26-1-10-101 — Indiana Code / Title 26 / Article 1 / Chapter 10 / Section 26-1-10-101
Repealed
Status: repealed

Formerly: Acts 1963, c.317, s.10-101. Repealed by P.L.93-1985, SEC.41.
Ind. Code § 26-1-1-205 — Indiana Code / Title 26 / Article 1 / Chapter 1 / Section 26-1-1-205
Course of dealing, course of performance, and usage of trade
Status: in_force

Sec. 205. (1) A course of dealing is a sequence of previous conduct between the parties to a particular transaction which is fairly to be regarded as establishing a common basis of understanding for interpreting their expressions and other conduct.

(2) A course of performance is a sequence of conduct between the parties to a particular transaction that exists if the:

(a) agreement of the parties with respect to the transaction involves repeated occasions for performance by a party; and

(b) other party, with knowledge of the nature of the performance and opportunity for objection to it, accepts the performance or acquiesces in it without objection.

(3) A usage of trade is any practice or method of dealing having such regularity of observance in a place, vocation or trade as to justify an expectation that it will be observed with respect to the transaction in question. The existence and scope of such a usage are to be proved as facts. If it is established that such a usage is embodied in a written trade code or similar writing the interpretation of the writing is for the court.

(4) A course of dealing or course of performance between parties and any usage of trade in the vocation or trade in which they are engaged or of which they are or should be aware give particular meaning to and supplement or qualify terms of an agreement.

(5) Except as provided in subsection (8), the express terms of an agreement and an applicable course of dealing, course of performance, or usage of trade shall be construed wherever reasonable as consistent with each other. If such a construction is unreasonable:

(a) express terms prevail over course of dealing and course of performance;

(b) course of performance prevails over course of dealing and usage of trade; and

(c) course of dealing prevails over usage of trade.

(6) An applicable usage of trade in the place where any part of performance is to occur shall be used in interpreting the agreement as to that part of the performance.

(7) Evidence of a relevant usage of trade offered by one party is not admissible unless and until the party has given the other party such notice as the court finds sufficient to prevent unfair surprise to the latter.

(8) Subject to IC 26-1-2-209, a course of performance is relevant to show a waiver or modification of any term inconsistent with the course of performance.

Formerly: Acts 1963, c.317, s.1-205. As amended by P.L.143-2007, SEC.4.
Ind. Code § 26-1-2.1-216 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-216
Third-party beneficiaries of express and implied warranties
Status: in_force

Sec. 216. A warranty to or for the benefit of a lessee under IC 26-1-2.1, whether express or implied, extends to any natural person who is in the family or household of the lessee or who is a guest in the lessee's home if it is reasonable to expect that such person may use, consume, or be affected by the goods and who is injured in person by breach of the warranty. This section does not displace principles of law and equity that extend a warranty to or for the benefit of a lessee to other persons. The operation of this section may not be excluded, modified, or limited, but an exclusion, modification, or limitation of the warranty, including any with respect to rights and remedies, effective against the lessee is also effective against any beneficiary designated under this section.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-4-1-19.5 — Indiana Code / Title 26 / Article 4 / Chapter 1 / Section 26-4-1-19.5
"Seed"
Status: in_force

Sec. 19.5. "Seed", notwithstanding IC 15-15-1, means grain set apart to be used primarily for the purpose of producing new plants.

As added by P.L.173-1999, SEC.16. Amended by P.L.2-2008, SEC.68.
Ind. Code § 26-1-8.1-510 — Indiana Code / Title 26 / Article 1 / Chapter 8.1 / Section 26-1-8.1-510
Purchaser for value of financial asset or security entitlement; adverse claims
Status: in_force

Sec. 510. (a) In a case not covered by the priority rules in IC 26-1-9.1 or the rules stated in subsection (c), an action based on an adverse claim to a financial asset or security entitlement, whether framed in conversion, replevin, constructive trust, equitable lien, or other theory, may not be asserted against a person who purchases a security entitlement, or an interest therein, from an entitlement holder if the purchaser gives value, does not have notice of the adverse claim, and obtains control.

(b) If an adverse claim could not have been asserted against an entitlement holder under IC 26-1-8.1-502, the adverse claim cannot be asserted against a person who purchases a security entitlement, or an interest therein, from the entitlement holder.

(c) In a case not covered by the priority rules in IC 26-1-9.1, a purchaser for value of a security entitlement, or an interest therein, who obtains control has priority over a purchaser of a security entitlement, or an interest therein, who does not obtain control. Except as otherwise provided in subsection (d), purchasers who have control rank according to priority in time of:

(1) the purchaser's becoming the person for whom the securities account, in which the security entitlement is carried, is maintained, if the purchaser obtained control under IC 26-1-8.1-106(d)(1);

(2) the securities intermediary's agreement to comply with the purchaser's entitlement orders with respect to security entitlements carried or to be carried in the securities account in which the security entitlement is carried, if the purchaser obtained control under IC 26-1-8.1-106(d)(2); or

(3) if the purchaser obtained control through another person under IC 26-1-8.1-106(d)(3), the time on which priority would be based under this subsection if the other person were the secured party.

(d) A securities intermediary as purchaser has priority over a conflicting purchaser who has control unless otherwise agreed by the securities intermediary.

As added by P.L.247-1995, SEC.10. Amended by P.L.57-2000, SEC.44.
Ind. Code § 26-1-2.1-403 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-403
Retraction of anticipatory repudiation
Status: in_force

Sec. 403. (1) Until the repudiating party's next performance is due, the repudiating party can retract the repudiation unless, since the repudiation, the aggrieved party has canceled the lease contract or materially changed the aggrieved party's position or otherwise indicated that the aggrieved party considers the repudiation final.

(2) Retraction may be by any method that clearly indicates to the aggrieved party that the repudiating party intends to perform under the lease contract and includes any assurance demanded under IC 26-1-2.1-401.

(3) Retraction reinstates a repudiating party's rights under a lease contract with due excuse and allowance to the aggrieved party for any delay occasioned by the repudiation.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-2-7-6 — Indiana Code / Title 26 / Article 2 / Chapter 7 / Section 26-2-7-6
Liability for continued nonpayment of checks
Status: in_force

Sec. 6. (a) This section does not apply to a person who has allowed a check to be dishonored because of lack of funds if both of the following apply:

(1) The person reasonably believed that there were sufficient funds in the account to cover the check.

(2) The insufficiency of funds is caused by the dishonoring of a third party check that had been deposited into the person's account.

(b) If a person liable under this chapter does not pay to the holder the full amount of the check not more than thirty (30) days after the certified mailing of written notice that the check has not been paid, the person is liable for, and the court shall award judgment for, the following, whichever applies:

(1) If the face amount of the check is not greater than two hundred fifty dollars ($250), three (3) times the face amount of the check.

(2) If the face amount of the check is greater than two hundred fifty dollars ($250), the face amount of the check plus five hundred dollars ($500).

As added by P.L.42-1993, SEC.18.
Ind. Code § 26-1-9.1-207 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-207
Rights and duties of secured party having possession or control of collateral
Status: in_force

Sec. 207. (a) Except as otherwise provided in subsection (d), a secured party shall use reasonable care in the custody and preservation of collateral in the secured party's possession. In the case of chattel paper or an instrument, reasonable care includes taking necessary steps to preserve rights against prior parties unless otherwise agreed.

(b) Except as otherwise provided in subsection (d), if a secured party has possession of collateral:

(1) reasonable expenses, including the cost of insurance and payment of taxes or other charges, incurred in the custody, preservation, use, or operation of the collateral are chargeable to the debtor and are secured by the collateral;

(2) the risk of accidental loss or damage is on the debtor to the extent of a deficiency in any effective insurance coverage;

(3) the secured party shall keep the collateral identifiable, but fungible collateral may be commingled; and

(4) the secured party may use or operate the collateral:

(A) for the purpose of preserving the collateral or its value;

(B) as permitted by an order of a court having competent jurisdiction; or

(C) except in the case of consumer goods, in the manner and to the extent agreed by the debtor.

(c) Except as otherwise provided in subsection (d), a secured party having possession of collateral or control of collateral under IC 26-1-7-106, IC 26-1-9.1-104, IC 26-1-9.1-105, IC 26-1-9.1-106, IC 26-1-9.1-107, or IC 26-1-9.1-107.1:

(1) may hold as additional security any proceeds, except money or funds, received from the collateral;

(2) shall apply money or funds received from the collateral to reduce the secured obligation, unless remitted to the debtor; and

(3) may create a security interest in the collateral.

(d) If the secured party is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor:

(1) subsection (a) does not apply unless the secured party is entitled under an agreement:

(A) to charge back uncollected collateral; or

(B) otherwise to full or limited recourse against the debtor or a secondary obligor based on the nonpayment or other default of an account debtor or other obligor on the collateral; and

(2) subsections (b) and (c) do not apply.

As added by P.L.57-2000, SEC.45. Amended by P.L.143-2007, SEC.67; P.L.199-2023, SEC.47.
Ind. Code § 26-1-4-106 — Indiana Code / Title 26 / Article 1 / Chapter 4 / Section 26-1-4-106
Payable through or payable at bank; collecting bank
Status: in_force

Sec. 106. (a) If an item states that it is "payable through" a bank identified in the item:

(1) the item designates the bank as a collecting bank and does not by itself authorize the bank to pay the item; and

(2) the item may be presented for payment only by or through the bank.

(b) If an item states that it is "payable at" a bank identified in the item:

(1) the item designates the bank as a collecting bank and does not by itself authorize the bank to pay the item; and

(2) the item may be presented for payment only by or through the bank.

(c) If a draft names a nonbank drawee and it is unclear whether a bank named in the draft is a co-drawee or a collecting bank, the bank is a collecting bank.

Formerly: Acts 1963, c.317, s.4-106. As amended by P.L.152-1986, SEC.211; P.L.222-1993, SEC.11.
Ind. Code § 26-4-3-7 — Indiana Code / Title 26 / Article 4 / Chapter 3 / Section 26-4-3-7
Board of directors; duties
Status: in_force

Sec. 7. (a) The board shall do the following:

(1) Adopt rules, create forms, and establish guidelines to implement this article.

(2) Collect and deposit all producer premiums authorized under IC 26-4-4-4 into the fund for investment by the board.

(3) Require reports from the agency regarding the financial status of a licensee, while the board is in executive session and without disclosing the name or any other identifying information of the licensee, including the following:

(A) Whether there is a risk that a licensee may have the licensee's license revoked.

(B) The financial impact to the fund if a licensee identified in clause (A) were to have the licensee's license revoked.

(C) The estimated number of potential claimants that could result from the revocation of a license of a licensee identified in clause (A).

(D) Any other information the director determines is necessary to solicit the advice of the board regarding the financial status of a licensee.

However, the director may not share information under this subdivision with a board member who has not executed a confidentiality agreement.

(4) Initiate any action it may consider necessary to compel the grain buyer against whom an awarded claim arose to repay to the fund the sums that are disbursed from the fund in relation to each claim.

(5) Initiate any action it may consider necessary to compel the claimant whose claim arose due to the revocation of a license to participate in any legal proceeding, investigation, or questioning by the board in relation to the claim.

(6) Within five (5) business days of receiving notice of the revocation of a license of a grain buyer, publish notice of the revocation in a manner described in IC 5-3.

(7) When a claim is made against the fund, hire a manager or management firm, that is not associated with or related to any member of the board, to assist board members in developing agendas, assisting in determining claims made against the fund, presenting the evidence of claims made by the agency, presenting claim information to the board, and other duties determined by the board.

(8) Seek independent legal advice when negotiating settlement of claims made against the fund when a claimant does not agree with the amount decided by the board as a fair amount for claims made.

(9) Determine whether claims made by producers are legitimate and backed by credible supporting documentation.

(10) Deny payments to claimants refusing to produce requested documentation or participate in investigations by the board.

(11) With the approval of the majority of the board, make payment from the fund when the payment is necessary for the purpose of compensating claimants under IC 26-4-6.

(12) Have subpoena power for credible documentation of losses requested to be paid to claimants by the fund.

(b) At the request of the chairperson, the agency shall provide administrative support to the board.

As added by P.L.250-1995, SEC.1. Amended by P.L.208-2021, SEC.11; P.L.114-2025, SEC.61.
Ind. Code § 26-1-6.2-1 — Indiana Code / Title 26 / Article 1 / Chapter 6.2 / Section 26-1-6.2-1
Validity and enforcement of rights and obligations under prior law
Status: repealed

Sec. 1. Rights and obligations that arose under IC 26-1-6.1 before its repeal by P.L.77-2007 remain valid and may be enforced as though IC 26-1-6.1 had not been repealed.

As added by P.L.16-2009, SEC.27.
Ind. Code § 26-1-2.1-212 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-212
Implied warranty of merchantability
Status: in_force

Sec. 212. (1) Except in a finance lease, a warranty that the goods will be merchantable is implied in a lease contract if the lessor is a merchant with respect to goods of that kind.

(2) Goods to be merchantable must be at least such as:

(a) pass without objection in the trade under the description in the lease agreement;

(b) in the case of fungible goods, are of fair average quality within the description;

(c) are fit for the ordinary purposes for which goods of that type are used;

(d) run, within the variation permitted by the lease agreement, of even kind, quality, and quantity within each unit and among all units involved;

(e) are adequately contained, packaged, and labeled as the lease agreement may require; and

(f) conform to any promises or affirmations of fact made on the container or label.

(3) Other implied warranties may arise from course of dealing or usage of trade.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-1-2-326 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-326
Sale on approval and sale or return
Status: in_force

Sec. 326. (1) Unless otherwise agreed, if delivered goods may be returned by the buyer even though they conform to the contract, the transaction is:

(a) a "sale on approval" if the goods are delivered primarily for use; and

(b) a "sale or return" if the goods are delivered primarily for resale.

(2) Goods held on approval are not subject to the claims of the buyer's creditors until acceptance. Goods held on sale or return are subject to such claims while in the buyer's possession.

(3) Any "or return" term of a contract for sale is to be treated as a separate contract for sale within the statute of frauds section (IC 26-1-2-201) and as contradicting the sale aspect of the contract within the provisions of IC 26-1-2-202 on parol or extrinsic evidence.

Formerly: Acts 1963, c.317, s.2-326. As amended by P.L.152-1986, SEC.140; P.L.57-2000, SEC.17; P.L.1-2025, SEC.219.
Ind. Code § 26-1-9.1-624 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-624
Debtor's or secondary obligor's waiver of rights regarding disposition or redemption of collateral
Status: in_force

Sec. 624. (a) A debtor or secondary obligor may waive the right to notification of disposition of collateral under IC 26-1-9.1-611 only by an agreement to that effect entered into and signed after default.

(b) A debtor may waive the right to require disposition of collateral under IC 26-1-9.1-620(e) only by an agreement to that effect entered into and signed after default.

(c) Except in a consumer-goods transaction, a debtor or secondary obligor may waive the right to redeem collateral under IC 26-1-9.1-623 only by an agreement to that effect entered into and signed after default.

As added by P.L.57-2000, SEC.45. Amended by P.L.199-2023, SEC.87.
Ind. Code § 26-3-8-0.5 — Indiana Code / Title 26 / Article 3 / Chapter 8 / Section 26-3-8-0.5
"Electronic mail"
Status: in_force

Sec. 0.5. As used in this chapter, "electronic mail" means the transmission, by use of a computer or through other electronic means, of information or a communication that is sent to a person identified by a unique address.

As added by P.L.144-2014, SEC.1.
Ind. Code § 26-1-2-208 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-208
Repealed
Status: repealed

Formerly: Acts 1963, c.317, s.2-208. As amended by P.L.152-1986, SEC.127. Repealed by P.L.143-2007, SEC.78.
Ind. Code § 26-1-2.1-406 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-406
Procedure on excused performance
Status: in_force

Sec. 406. (1) If the lessee receives notification of a material or indefinite delay or an allocation justified under IC 26-1-2.1-405, the lessee may by written notification to the lessor as to any goods involved, and with respect to all of the goods if under an installment lease contract the value of the whole lease contract is substantially impaired (IC 26-1-2.1-510):

(a) terminate the lease contract (IC 26-1-2.1-505(2)); or

(b) except in a finance lease that is not a consumer lease, modify the lease contract by accepting the available quota in substitution, with due allowance from the rent payable for the balance of the lease term for the deficiency but without further right against the lessor.

(2) If, after receipt of a notification from the lessor under IC 26-1-2.1-405, the lessee fails so to modify the lease agreement within a reasonable time not exceeding thirty (30) days, the lease contract lapses with respect to any deliveries affected.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-4-3-8 — Indiana Code / Title 26 / Article 4 / Chapter 3 / Section 26-4-3-8
Board of directors; liability
Status: in_force

Sec. 8. A member of the board or other person acting on behalf of the corporation is not personally liable for damage or injury resulting from the performance of the member's or person's duties under this article.

As added by P.L.250-1995, SEC.1.
Ind. Code § 26-1-3.1-404 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-404
Impostors; fictitious payees
Status: in_force

Sec. 404. (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 to a person acting in concert with the impostor, by impersonating the payee of the instrument or a person authorized to act for the payee, an endorsement of the instrument by any person in the name of the payee is effective as the endorsement of the payee in favor of a person who, in good faith, pays the instrument or takes it for value or for collection.

(b) If (i) a person whose intent determines to whom an instrument is payable (IC 26-1-3.1-110(a) or (b)) does not intend the person identified as payee to have any interest in the instrument, or (ii) the person identified as payee of an instrument is a fictitious person, the following rules apply until the instrument is negotiated by special endorsement:

(1) Any person in possession of the instrument is its holder.

(2) An endorsement by any person in the name of the payee stated in the instrument is effective as the endorsement of the payee in favor of a person who, in good faith, pays the instrument or takes it for value or for collection.

(c) Under subsection (a) or (b), an endorsement is made in the name of a payee if:

(1) it is made in a name substantially similar to that of the payee; or

(2) the instrument, whether or not endorsed, is deposited in a depositary bank to an account in a name substantially similar to that of the payee.

(d) With respect to an instrument to which subsection (a) or (b) applies, if a person paying the instrument or taking it for value or for collection fails to exercise ordinary care in paying or taking the instrument and that failure substantially contributes to loss resulting from payment of the instrument, the person bearing the loss may recover from the person failing to exercise ordinary care to the extent the person bearing the loss proves that the failure to exercise ordinary care substantially contributed to the loss.

As added by P.L.222-1993, SEC.5. Amended by P.L.248-1995, SEC.1.
Ind. Code § 26-1-2.1-310 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-310
Lessor's and lessee's rights when goods become accessions
Status: in_force

Sec. 310. (1) Goods are "accessions" when they are installed in or affixed to other goods.

(2) The interest of a lessor or a lessee under a lease contract entered into before the goods became accessions is superior to all interests in the whole except as stated in subsection (4).

(3) The interest of a lessor or a lessee under a lease contract entered into at the time or after the goods became accessions is superior to all subsequently acquired interests in the whole except as stated in subsection (4) but is subordinate to interests in the whole existing at the time the lease contract was made unless the holders of such interests in the whole have in writing consented to the lease or disclaimed an interest in the goods as part of the whole.

(4) The interest of a lessor or a lessee under a lease contract described in subsection (2) or (3) is subordinate to the interest of:

(a) a buyer in the ordinary course of business or a lessee in the ordinary course of business of any interest in the whole acquired after the goods became accessions; or

(b) a creditor with a security interest in the whole perfected before the lease contract was made to the extent that the creditor makes subsequent advances without knowledge of the lease contract.

(5) When under subsections (2) or (3) and (4) a lessor or a lessee of accessions holds an interest that is superior to all interests in the whole, the lessor or the lessee may:

(a) on default, expiration, termination, or cancellation of the lease contract by the other party but subject to the provisions of the lease contract and IC 26-1-2.1; or

(b) if necessary to enforce the lessor's or the lessee's other rights and remedies under IC 26-1-2.1;

remove the goods from the whole, free and clear of all interests in the whole, but the lessor or lessee must reimburse any holder of an interest in the whole who is not the lessee and who has not otherwise agreed for the cost of repair of any physical injury but not for any diminution in value of the whole caused by the absence of the goods removed or by any necessity for replacing them. A person entitled to reimbursement may refuse permission to remove until the party seeking removal gives adequate security for the performance of this obligation.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-1-9.1-311 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-311
Perfection of security interests in property subject to certain statutes, regulations, and treaties
Status: in_force

Sec. 311. (a) Except as otherwise provided in subsection (d), the filing of a financing statement is not necessary or effective to perfect a security interest in property subject to:

(1) a statute, regulation, or treaty of the United States whose requirements for a security interest's obtaining priority over the rights of a lien creditor with respect to the property preempt IC 26-1-9.1-310(a);

(2) any Indiana statute covering automobiles, trailers, mobile homes, or boats, which provides for a security interest to be indicated on a certificate of title as a condition or result of perfection; or

(3) a statute of another jurisdiction which provides for a security interest to be indicated on a certificate of title as a condition or result of the security interest's obtaining priority over the rights of a lien creditor with respect to the property.

(b) Compliance with the requirements of a statute, regulation, or treaty described in subsection (a) for obtaining priority over the rights of a lien creditor is equivalent to the filing of a financing statement under IC 26-1-9.1. Except as otherwise provided in subsection (d), IC 26-1-9.1-313, IC 26-1-9.1-316(d), and IC 26-1-9.1-316(e) for goods covered by a certificate of title, a security interest in property subject to a statute, regulation, or treaty described in subsection (a) may be perfected only by compliance with those requirements, and a security interest so perfected remains perfected notwithstanding a change in the use or transfer of possession of the collateral.

(c) Except as otherwise provided in subsection (d), IC 26-1-9.1-316(d), and IC 26-1-9.1-316(e), duration and renewal of perfection of a security interest perfected by compliance with the requirements prescribed by a statute, regulation, or treaty described in subsection (a) are governed by the statute, regulation, or treaty. In other respects, the security interest is subject to IC 26-1-9.1.

(d) During any period in which collateral, subject to a statute specified in subsection (a)(2), is inventory held for sale or lease by a person or leased by that person as lessor, and that person is in the business of selling goods of that kind, this section does not apply to a security interest in that collateral created by that person, but instead, the filing provisions of IC 26-1-9.1-501 through IC 26-1-9.1-527 apply.

As added by P.L.57-2000, SEC.45. Amended by P.L.210-2005, SEC.74; P.L.54-2011, SEC.6.
Ind. Code § 26-1-2-711 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-711
Buyer's remedies in general; buyer's security interest in rejected goods
Status: in_force

Sec. 711. (1) Where the seller fails to make delivery or repudiates or the buyer rightfully rejects or justifiably revokes acceptance, then with respect to any goods involved, and with respect to the whole if the breach goes to the whole contract (IC 26-1-2-612), the buyer may cancel, and whether or not he has done so may in addition to recovering so much of the price as has been paid:

(a) "cover" and have damages under IC 26-1-2-712 as to all the goods affected whether or not they have been identified to the contract; or

(b) recover damages for nondelivery as provided in IC 26-1-2-713.

(2) Where the seller fails to deliver or repudiates the buyer may also:

(a) if the goods have been identified, recover them as provided in IC 26-1-2-502; or

(b) in a proper case obtain specific performance or replevy the goods as provided in IC 26-1-2-716.

(3) On rightful rejection or justifiable revocation of acceptance, a buyer has a security interest in goods in his possession or control for any payments made on their price and any expenses reasonably incurred in their inspection, receipt, transportation, care, and custody and may hold such goods and resell them in like manner as an aggrieved seller (IC 26-1-2-706).

Formerly: Acts 1963, c.317, s.2-711. As amended by P.L.152-1986, SEC.169.
Ind. Code § 26-1-8.1-508 — Indiana Code / Title 26 / Article 1 / Chapter 8.1 / Section 26-1-8.1-508
Duty of securities intermediary to act at direction of entitlement holder
Status: reserved

Sec. 508. A securities intermediary shall act at the direction of an entitlement holder to change a security entitlement into another available form of holding for which the entitlement holder is eligible, or to cause the financial asset to be transferred to a securities account of the entitlement holder with another securities intermediary. A securities intermediary satisfies the duty if:

(1) the securities intermediary acts as agreed upon by the entitlement holder and the securities intermediary; or

(2) in the absence of agreement, the securities intermediary exercises due care in accordance with reasonable commercial standards to follow the direction of the entitlement holder.

As added by P.L.247-1995, SEC.10.
Ind. Code § 26-1-3.1-303 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-303
Value and consideration
Status: reserved

Sec. 303. (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 the promise has been performed;

(2) the transferee acquires a security interest or other lien in the instrument other than a lien obtained by judicial proceeding;

(3) the instrument is issued or transferred as payment of, or as security for, an antecedent claim against any person, whether or not the claim is due;

(4) the instrument is issued or transferred in exchange for a negotiable instrument; or

(5) the instrument is issued or transferred in exchange for the incurring of an irrevocable obligation to a third party by the person taking the instrument.

(b) "Consideration" means any consideration sufficient to support a simple contract. The drawer or maker of an instrument has a defense if the instrument is issued without consideration. If an instrument is issued for a promise of performance, the issuer has a defense to the extent performance of the promise is due and the promise has not been performed. If an instrument is issued for value as stated in subsection (a), the instrument is also issued for consideration.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-9.1-333 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-333
Priority of certain liens arising by operation of law
Status: in_force

Sec. 333. (a) In this section, "possessory lien" means an interest, other than a security interest or an agricultural lien:

(1) that secures payment or performance of an obligation for services or materials furnished with respect to goods by a person in the ordinary course of the person's business;

(2) that is created by statute or rule of law in favor of the person; and

(3) whose effectiveness depends on the person's possession of the goods.

(b) A possessory lien on goods has priority over a security interest in the goods unless the lien is created by a statute that expressly provides otherwise.

As added by P.L.57-2000, SEC.45.
Ind. Code § 26-1-9.1-522 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-522
Maintenance and destruction of records
Status: in_force

Sec. 522. (a) The filing office shall maintain a record of the information provided in a filed financing statement for at least one (1) year after the effectiveness of the financing statement has lapsed under IC 26-1-9.1-515 with respect to all secured parties of record. The record must be retrievable by using the name of the debtor and by using the file number assigned to the initial financing statement to which the record relates.

(b) Except to the extent that a statute governing disposition of public records provides otherwise, the filing office immediately may destroy any written record evidencing a financing statement. However, if the filing office destroys a written record, it shall maintain another record of the financing statement that complies with subsection (a).

As added by P.L.57-2000, SEC.45.
Ind. Code § 26-4-3-6 — Indiana Code / Title 26 / Article 4 / Chapter 3 / Section 26-4-3-6
Board of directors; notice of meetings
Status: in_force

Sec. 6. (a) Except as provided in subsection (b), a member of the board must be given at least five (5) days written notice of the meetings.

(b) A member of the board may waive any notice required by this section or bylaws of the corporation before or after the date and time stated in the notice. The waiver by the board member entitled to the notice must be in writing and be hand delivered or mailed to the corporation for inclusion in the minutes or filing with the corporate records.

(c) A board member's attendance at a meeting waives any objection:

(1) to the lack of a notice or a defective notice of the meeting, unless the member at the beginning of the meeting objects to holding the meeting or transacting business at the meeting; and

(2) to consideration of a particular matter at the meeting that is not within the purpose or purposes described in the notice, unless the member objects to considering the matter when it is presented.

As added by P.L.250-1995, SEC.1.
Ind. Code § 26-1-3.1-502 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-502
Dishonor
Status: in_force

Sec. 502. (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 is duly made to the maker and the note is not paid on the day of presentment.

(2) If the note is not payable on demand and is payable at or through a bank or the terms of the note require presentment, the note is dishonored if presentment is duly made and the note is not paid on the day it becomes payable or the day of presentment, whichever is later.

(3) If the note is not payable on demand and subdivision (2) does not apply, the note is dishonored if it is not paid on the day it becomes payable.

(b) Dishonor of an unaccepted draft other than a documentary draft is governed by the following rules:

(1) If a check is duly presented for payment to the payor bank otherwise than for immediate payment over the counter, the check is dishonored if the payor bank makes timely return of the check or sends timely notice of dishonor or nonpayment under IC 26-1-4-301 or IC 26-1-4-302, or becomes accountable for the amount of the check under IC 26-1-4-302.

(2) If a draft is payable on demand and subdivision (1) does not apply, the draft is dishonored if presentment for payment is duly made to the drawee and the draft is not paid on the day of presentment.

(3) If a draft is payable on a date stated in the draft, the draft is dishonored if:

(A) presentment for payment is duly made to the drawee and payment is not made on the day the draft becomes payable or the day of presentment, whichever is later; or

(B) presentment for acceptance is duly made before the day the draft becomes payable and the draft is not accepted on the day of presentment.

(4) If a draft is payable on elapse of a period of time after sight or acceptance, the draft is dishonored if presentment for acceptance is duly made and the draft is not accepted on the day of presentment.

(c) Dishonor of an unaccepted documentary draft occurs according to the rules stated in subsection (b)(2), (b)(3), and (b)(4), except that payment or acceptance may be delayed without dishonor until no later than the close of the third business day of the drawee following the day on which payment or acceptance is required by those subdivisions.

(d) Dishonor of an accepted draft is governed by the following rules:

(1) If the draft is payable on demand, the draft is dishonored if presentment for payment is duly made to the acceptor and the draft is not paid on the day of presentment.

(2) If the draft is not payable on demand, the draft is dishonored if presentment for payment is duly made to the acceptor and payment is not made on the day it becomes payable or the day of presentment, whichever is later.

(e) In any case in which presentment is otherwise required for dishonor under this section and presentment is excused under IC 26-1-3.1-504, dishonor occurs without presentment if the instrument is not duly accepted or paid.

(f) If a draft is dishonored because timely acceptance of the draft was not made and the person entitled to demand acceptance consents to a late acceptance, from the time of acceptance the draft is treated as never having been dishonored.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-4-502 — Indiana Code / Title 26 / Article 1 / Chapter 4 / Section 26-1-4-502
Presentment of "on arrival" drafts
Status: repealed

Sec. 502. If a draft or the relevant instructions require presentment "on arrival", "when goods arrive" or the like, the collecting bank need not present until in its judgment a reasonable time for arrival of the goods has expired. Refusal to pay or accept because the goods have not arrived is not dishonor; the bank must notify its transferor of the refusal but need not present the draft again until it is instructed to do so or learns of the arrival of the goods.

Formerly: Acts 1963, c.317, s.4-502. As amended by P.L.222-1993, SEC.43.
Ind. Code § 26-1-2-719 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-719
Contractual modification or limitation of remedy
Status: in_force

Sec. 719. (1) Subject to the provisions of subsections (2) and (3) and of IC 26-1-2-718 on liquidation and limitation of damages:

(a) the agreement may provide for remedies in addition to or in substitution for those provided in IC 26-1-2 and may limit or alter the measure of damages recoverable under IC 26-1-2, as by limiting the buyer's remedies to return of the goods and repayment of the price or to repair and replacement of nonconforming goods or parts; and

(b) resort to a remedy as provided is optional unless the remedy is expressly agreed to be exclusive, in which case it is the sole remedy.

(2) Where circumstances cause an exclusive or limited remedy to fail of its essential purpose, remedy may be had as provided in IC 26-1.

(3) Consequential damages may be limited or excluded unless the limitation or exclusion is unconscionable. Limitation of consequential damages for injury to the person in the case of consumer goods is prima facie unconscionable, but limitation of damages where the loss is commercial is not.

Formerly: Acts 1963, c.317, s.2-719. As amended by P.L.152-1986, SEC.174.
Ind. Code § 26-2-8-109 — Indiana Code / Title 26 / Article 2 / Chapter 8 / Section 26-2-8-109
Effect of change or error
Status: in_force

Sec. 109. If a change or error in an electronic record occurs in a transmission between parties to a transaction, the following rules apply:

(1) If the parties have agreed to use a security procedure to detect changes or errors and one (1) party has conformed to the procedure, but the other party has not, and the nonconforming party would have detected the change or error had that party also conformed, the effect of the changed or erroneous electronic record is avoidable by the conforming party.

(2) In an automated transaction involving an individual, the individual may avoid the effect of an electronic record that resulted from an error by the individual made in dealing with the electronic agent of another person if the electronic agent did not provide an opportunity for the prevention or correction of the error and, at the time the individual learns of the error, the individual:

(A) promptly notifies the other person of the error and that the individual did not intend to be bound by the electronic record received by the other person;

(B) takes reasonable steps, including steps that conform to the other person's reasonable instructions, to return to the other person or, if instructed by the other person, to destroy the consideration received, if any, as a result of the erroneous electronic record; and

(C) has not used or received any benefit or value from the consideration, if any, received from the other person.

(3) If neither subdivision (1) nor subdivision (2) applies, the change or error has the effect provided by law, including the law of mistake, and the parties' contract, if any.

(4) Subdivisions (2) and (3) may not be varied by agreement.

As added by P.L.62-2000, SEC.1.
Ind. Code § 26-2-8-201 — Indiana Code / Title 26 / Article 2 / Chapter 8 / Section 26-2-8-201
Creation and retention of electronic records and conversion of written records by governmental agency
Status: in_force

Sec. 201. Each governmental agency shall determine whether, and the extent to which, the governmental agency will create and retain electronic records and convert written records to electronic records.

As added by P.L.62-2000, SEC.1.
Ind. Code § 26-1-5.1-107 — Indiana Code / Title 26 / Article 1 / Chapter 5.1 / Section 26-1-5.1-107
Confirmation; advice of credit; error in statement terms; notice to transfer beneficiary
Status: in_force

Sec. 107. (a) A confirmer is directly obligated on a letter of credit and has the rights and obligations of an issuer to the extent of its confirmation. The confirmer also has rights against and obligations to the issuer as if the issuer were an applicant and the confirmer had issued the letter of credit at the request and for the account of the issuer.

(b) A nominated person who is not a confirmer is not obligated to honor or otherwise give value for a presentation.

(c) A person requested to advise may decline to act as an adviser. An adviser that is not a confirmer is not obligated to honor or give value for a presentation. An adviser undertakes to the issuer and to the beneficiary accurately to advise the terms of the letter of credit, confirmation, amendment, or advice received by that person and undertakes to the beneficiary to check the apparent authenticity of the request to advise. Even if the advice is inaccurate, the letter of credit, confirmation, or amendment is enforceable as issued.

(d) A person who notifies a transferee beneficiary of the terms of a letter of credit, confirmation, amendment, or advice has the rights and obligations of an adviser under subsection (c). The terms in the notice to the transferee beneficiary may differ from the terms in any notice to the transferor beneficiary to the extent permitted by the letter of credit, confirmation, amendment, or advice received by the person who so notifies.

As added by P.L.183-1996, SEC.4.
Ind. Code § 26-2-7-7 — Indiana Code / Title 26 / Article 2 / Chapter 7 / Section 26-2-7-7
Election of remedies
Status: in_force

Sec. 7. A person must elect whether to pursue a claim either under this chapter or under IC 34-24-3-1 (or IC 34-4-30-1 before its repeal).

As added by P.L.42-1993, SEC.18. Amended by P.L.1-1998, SEC.138.
Ind. Code § 26-1-2.1-404 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-404
Substituted performance
Status: in_force

Sec. 404. (1) If without fault of the lessee, the lessor and the supplier, the agreed berthing, loading, or unloading facilities fail or the agreed type of carrier becomes unavailable or the agreed manner of delivery otherwise becomes commercially impracticable, but a commercially reasonable substitute is available, the substitute performance must be tendered and accepted.

(2) If the agreed means or manner of payment fails because of domestic or foreign governmental regulation:

(a) the lessor may withhold or stop delivery or cause the supplier to withhold or stop delivery unless the lessee provides a means or manner of payment that is commercially a substantial equivalent; and

(b) if delivery has already been taken, payment by the means or in the manner provided by the regulation discharges the lessee's obligation unless the regulation is discriminatory, oppressive, or predatory.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-1-2-304 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-304
Price payable in money, goods, realty, or otherwise
Status: in_force

Sec. 304. (1) The price can be made payable in money or otherwise. If it is payable in whole or in part in goods, each party is a seller of the goods which he is to transfer.

(2) Even though all or part of the price is payable in an interest in realty, the transfer of the goods and the seller's obligations with reference to them are subject to IC 26-1-2, but not the transfer of the interest in realty or the transferor's obligations in connection therewith.

Formerly: Acts 1963, c.317, s.2-304. As amended by P.L.152-1986, SEC.131.
Ind. Code § 26-1-9.1-323 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-323
Future advances
Status: in_force

Sec. 323. (a) Except as otherwise provided in subsection (c), for purposes of determining the priority of a perfected security interest under IC 26-1-9.1-322(a)(1), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that:

(1) is made while the security interest is perfected only:

(A) under IC 26-1-9.1-309 when it attaches; or

(B) temporarily under IC 26-1-9.1-312(e), IC 26-1-9.1-312(f), or IC 26-1-9.1-312(g); and

(2) is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under IC 26-1-9.1-309, IC 26-1-9.1-312(e), IC 26-1-9.1-312(f), or IC 26-1-9.1-312(g).

(b) Except as otherwise provided in subsection (c), a security interest is subordinate to the rights of a person that becomes a lien creditor to the extent that the security interest secures an advance made more than forty-five (45) days after the person becomes a lien creditor unless the advance is made:

(1) without knowledge of the lien; or

(2) pursuant to a commitment entered into without knowledge of the lien.

(c) Subsections (a) and (b) do not apply to a security interest held by a secured party that is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor.

(d) Except as otherwise provided in subsection (e), a buyer of goods takes free of a security interest to the extent that it secures advances made after the earlier of:

(1) the time the secured party acquires knowledge of the buyer's purchase; or

(2) forty-five (45) days after the purchase.

(e) Subsection (d) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer's purchase and before the expiration of the forty-five (45) day period.

(f) Except as otherwise provided in subsection (g), a lessee of goods takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of:

(1) the time the secured party acquires knowledge of the lease; or

(2) forty-five (45) days after the lease contract becomes enforceable.

(g) Subsection (f) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the forty-five (45) day period.

As added by P.L.57-2000, SEC.45. Amended by P.L.199-2023, SEC.63.
Ind. Code § 26-1-3.1-207 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-207
Reacquisition
Status: reserved

Sec. 207. 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 cancel endorsements made after the reacquirer first became a holder of the instrument. If the cancellation causes the instrument to be payable to the reacquirer or to bearer, the reacquirer may negotiate the instrument. An endorser whose endorsement is canceled is discharged, and the discharge is effective against any subsequent holder.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-3.1-502.5 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-502.5
Surcharge after dishonor
Status: in_force

Sec. 502.5. (a) Except as provided in subsection (b), a person to whom a check, a draft, an order, or like instrument is tendered may, if the instrument is dishonored or returned unpaid for any reason, charge and collect from the maker or drawer, or the person for whose benefit the instrument was given, an amount not to exceed twenty dollars ($20) plus an amount equal to the actual charge by the depository institution for each returned or dishonored instrument. The charge shall not be considered an interest charge, a finance charge, a time price differential, or any charge of a similar nature.

(b) To the extent applicable to a federally chartered bank, if a check is dishonored, a bank, trust, banc, banco, or bancorp may not charge any party other than the maker or drawer of the check a fee in connection with the dishonoring of the check.

As added by P.L.248-1995, SEC.3. Amended by P.L.213-2007, SEC.32.
Ind. Code § 26-2-3-5 — Indiana Code / Title 26 / Article 2 / Chapter 3 / Section 26-2-3-5
Construction of law
Status: in_force

Sec. 5. The provisions of sections 3 and 4 of this chapter shall not alter the law relative to bills of exchange as it exists on July 5, 1861.

Formerly: Acts 1861, c.75, s.5. As amended by P.L.152-1986, SEC.303.
Ind. Code § 26-1-2.1-105 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-105
Territorial application of article to goods covered by certificate of title
Status: in_force

Sec. 105. Subject to the provisions of IC 26-1-2.1-304(3) and IC 26-1-2.1-305(3), with respect to goods covered by a certificate of title issued under a statute of this state or of another jurisdiction, compliance and the effect of compliance or noncompliance with a certificate of title statute are governed by the law (including the conflict of laws rules) of the jurisdiction issuing the certificate until the earlier of:

(a) surrender of the certificate; or

(b) four (4) months after the goods are removed from that jurisdiction and thereafter until a new certificate of title is issued by another jurisdiction.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-3-7-36 — Indiana Code / Title 26 / Article 3 / Chapter 7 / Section 26-3-7-36
Deposit of fees
Status: in_force

Sec. 36. All fees received by the director under this chapter shall be deposited within thirty (30) days of receipt.

Formerly: Acts 1973, P.L.268, SEC.1. As amended by Acts 1979, P.L.17, SEC.53; P.L.139-1996, SEC.12.
Ind. Code § 26-1-7-204 — Indiana Code / Title 26 / Article 1 / Chapter 7 / Section 26-1-7-204
Duty of care; contractual limitation of warehouse's liability
Status: in_force

Sec. 204. (a) A warehouse is liable for damages for loss of or injury to the goods caused by its failure to exercise care with regard to the goods that a reasonably careful person would exercise under similar circumstances. Unless otherwise agreed, the warehouse is not liable for damages that could not have been avoided by the exercise of that care.

(b) Damages may be limited by a term in the warehouse receipt or storage agreement limiting the amount of liability in case of loss or damage beyond which the warehouse is not liable. Such a limitation is not effective with respect to the warehouse's liability for conversion to its own use. On request of the bailor in a record at the time of signing the storage agreement or within a reasonable time after receipt of the warehouse receipt, the warehouse's liability may be increased on part or all of the goods covered by the storage agreement or the warehouse receipt. In this event, increased rates may be charged based on an increased valuation of the goods.

(c) Reasonable provisions as to the time and manner of presenting claims and commencing actions based on the bailment may be included in the warehouse receipt or storage agreement.

Formerly: Acts 1963, c.317, s.7-204. As amended by P.L.143-2007, SEC.33.
Ind. Code § 26-1-2.1-529 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-529
Lessor's action for the rent
Status: in_force

Sec. 529. (1) After default by the lessee under the lease contract of the type described in IC 26-1-2.1-523(1) or IC 26-1-2.1-523(3)(a) or, if agreed, after other default by the lessee, if the lessor complies with subsection (2), the lessor may recover from the lessee as damages:

(a) for goods accepted by the lessee and not repossessed by or tendered to the lessor, and for conforming goods lost or damaged within a commercially reasonable time after risk of loss passes to the lessee (IC 26-1-2.1-219):

(i) accrued and unpaid rent as of the date of entry of judgment in favor of the lessor;

(ii) the present value as of the same date of the rent for the then remaining lease term of the lease agreement; and

(iii) any incidental damages allowed under IC 26-1-2.1-530, less expenses saved in consequence of the lessee's default; and

(b) for goods identified to the lease contract if the lessor is unable after reasonable effort to dispose of them at a reasonable price or the circumstances reasonably indicate that effort will be unavailing:

(i) accrued and unpaid rent as of the date of entry of judgment in favor of the lessor;

(ii) the present value as of the same date of the rent for the then remaining lease term of the lease agreement; and

(iii) any incidental damages allowed under IC 26-1-2.1-530, less expenses saved in consequence of the lessee's default.

(2) Except as provided in subsection (3), the lessor shall hold for the lessee for the remaining lease term of the lease agreement any goods that have been identified to the lease contract and are in the lessor's control.

(3) The lessor may dispose of the goods at any time before collection of the judgment for damages obtained pursuant to subsection (1). If the disposition is before the end of the remaining lease term of the lease agreement, the lessor's recovery against the lessee for damages is governed by IC 26-1-2.1-527 or IC 26-1-2.1-528, and the lessor will cause an appropriate credit to be provided against a judgment for damages to the extent that the amount of the judgment exceeds the recovery available pursuant to IC 26-1-2.1-527 or IC 26-1-2.1-528.

(4) Payment of the judgment for damages obtained pursuant to subsection (1) entitles the lessee to use and possession of the goods not then disposed of for the remaining lease term of and in accordance with the lease agreement.

(5) After default by the lessee under the lease contract of the type described in IC 26-1-2.1-523(1) or IC 26-1-2.1-523(3)(a) or, if agreed, after other default by the lessee, a lessor who is held not entitled to rent under this section must nevertheless be awarded damages for non-acceptance under IC 26-1-2.1-527 and IC 26-1-2.1-528.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-1-2.1-508 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-508
Lessee's remedies
Status: in_force

Sec. 508. (1) If a lessor fails to deliver the goods in conformity to the lease contract (IC 26-1-2.1-509) or repudiates the lease contract (IC 26-1-2.1-402), or a lessee rightfully rejects the goods (IC 26-1-2.1-509) or justifiably revokes acceptance of the goods (IC 26-1-2.1-517), then with respect to any goods involved, and with respect to all of the goods if under an installment lease contract the value of the whole lease contract is substantially impaired (IC 26-1-2.1-510), the lessor is in default under the lease contract and the lessee may:

(a) cancel the lease contract (IC 26-1-2.1-505(1));

(b) recover so much of the rent and security as has been paid and is just under the circumstances;

(c) cover and recover damages as to all goods affected whether or not they have been identified to the lease contract (IC 26-1-2.1-518 and IC 26-1-2.1-520), or recover damages for nondelivery (IC 26-1-2.1-519 and IC 26-1-2.1-520); and

(d) exercise any other rights or pursue any other remedies provided in the lease contract.

(2) If a lessor fails to deliver the goods in conformity to the lease contract or repudiates the lease contract, the lessee may also:

(a) if the goods have been identified, recover them (IC 26-1-2.1-522); or

(b) in a proper case, obtain specific performance or replevy the goods (IC 26-1-2.1-521).

(3) If a lessor is otherwise in default under a lease contract, the lessee may exercise the rights and pursue the remedies provided in the lease contract, which may include a right to cancel the lease, and in IC 26-1-2.1-519(3).

(4) If a lessor has breached a warranty, whether express or implied, the lessee may recover damages (IC 26-1-2.1-519(4)).

(5) On rightful rejection or justifiable revocation of acceptance, a lessee has a security interest in goods in the lessee's possession or control for any rent and security that has been paid and any expenses reasonably incurred in their inspection, receipt, transportation, and care and custody and may hold those goods and dispose of them in good faith and in a commercially reasonable manner, subject to IC 26-1-2.1-527(5).

(6) Subject to the provisions of IC 26-1-2.1-407, a lessee, on notifying the lessor of the lessee's intention to do so, may deduct all or any part of the damages resulting from any default under the lease contract from any part of the rent still due under the same lease contract.

As added by P.L.189-1991, SEC.3. Amended by P.L.1-1992, SEC.135.
Ind. Code § 26-1-4.1-301 — Indiana Code / Title 26 / Article 1 / Chapter 4.1 / Section 26-1-4.1-301
Execution and execution date
Status: in_force

Sec. 301. (a) A payment order is "executed" by the receiving bank when it issues a payment order intended to carry out the payment order received by the bank. A payment order received by the beneficiary's bank can be accepted but cannot be executed.

(b) "Execution date" of a payment order means the day on which the receiving bank may properly issue a payment order in execution of the sender's order. The execution date may be determined by instruction of the sender but cannot be earlier than the day the order is received and, unless otherwise determined, is the day the order is received. If the sender's instruction states a payment date, the execution date is the payment date or an earlier date on which execution is reasonably necessary to allow payment to the beneficiary on the payment date.

As added by P.L.189-1991, SEC.4.
Ind. Code § 26-1-3.1-307 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-307
Notice of breach of fiduciary duty
Status: in_force

Sec. 307. (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 an instrument.

(2) "Represented person" means the principal, beneficiary, partnership, corporation, or other person to whom the duty stated in subdivision (1) is owed.

(b) If (i) an instrument is taken from a fiduciary for payment or collection or for value, (ii) the taker has knowledge of the fiduciary status of the fiduciary, and (iii) the represented person makes a claim to the instrument or its proceeds on the basis that the transaction of the fiduciary is a breach of fiduciary duty, the following rules apply:

(1) Notice of breach of fiduciary duty by the fiduciary is notice of the claim of the represented person.

(2) In the case of an instrument payable to the represented person or the fiduciary as such, the taker has notice of the breach of fiduciary duty if the instrument is:

(A) taken in payment of or as security for a debt known by the taker to be the personal debt of the fiduciary;

(B) taken in a transaction known by the taker to be for the personal benefit of the fiduciary; or

(C) deposited to an account other than an account of the fiduciary, as such, or an account of the represented person and the bank receiving the deposit has:

(i) actual knowledge that the fiduciary is committing a breach of its obligation as fiduciary in making the deposit; or

(ii) knowledge of other facts that the bank's action in receiving the deposit constitutes bad faith.

(3) If an instrument is issued by the represented person or the fiduciary as such, and made payable to the fiduciary personally, the taker does not have notice of the breach of fiduciary duty unless the taker knows of the breach of fiduciary duty.

(4) If an instrument is issued by the represented person or the fiduciary as such, to the taker as payee, the taker has notice of the breach of fiduciary duty if the instrument is:

(A) taken in payment of or as security for a debt known by the taker to be the personal debt of the fiduciary;

(B) taken in a transaction known by the taker to be for the personal benefit of the fiduciary; or

(C) deposited to an account other than an account of the fiduciary, as such, or an account of the represented person and the bank receiving the deposit has:

(i) actual knowledge that the fiduciary is committing a breach of its obligation as fiduciary in making the deposit; or

(ii) knowledge of other facts that the bank's action in receiving the deposit constitutes bad faith.

As added by P.L.222-1993, SEC.5. Amended by P.L.129-1994, SEC.1.
Ind. Code § 26-1-4.1-303 — Indiana Code / Title 26 / Article 1 / Chapter 4.1 / Section 26-1-4.1-303
Erroneous execution of payment order
Status: in_force

Sec. 303. (a) A receiving bank that (i) executes the payment order of the sender by issuing a payment order in an amount greater than the amount of the sender's order, or (ii) issues a payment order in execution of the sender's order and then issues a duplicate order, is entitled to payment of the amount of the sender's order under IC 26-1-4.1-402(c) if that subsection is otherwise satisfied. The bank is entitled to recover from the beneficiary of the erroneous order the excess payment received to the extent allowed by the law governing mistake and restitution.

(b) A receiving bank that executes the payment order of the sender by issuing a payment order in an amount less than the amount of the sender's order is entitled to payment of the amount of the sender's order under IC 26-1-4.1-402(c) if (i) that subsection is otherwise satisfied and (ii) the bank corrects its mistake by issuing an additional payment order for the benefit of the beneficiary of the sender's order. If the error is not corrected, the issuer of the erroneous order is entitled to receive or retain payment from the sender of the order it accepted only to the extent of the amount of the erroneous order. This subsection does not apply if the receiving bank executes the sender's payment order by issuing a payment order in an amount less than the amount of the sender's order for the purpose of obtaining payment of its charges for services and expenses pursuant to instruction of the sender.

(c) If a receiving bank executes the payment order of the sender by issuing a payment order to a beneficiary different from the beneficiary of the sender's order and the funds transfer is completed on the basis of that error, the sender of the payment order that was erroneously executed and all previous senders in the funds transfer are not obliged to pay the payment orders they issued. The issuer of the erroneous order is entitled to recover from the beneficiary of the order the payment received to the extent allowed by the law governing mistake and restitution.

As added by P.L.189-1991, SEC.4.
Ind. Code § 26-1-4.1-210 — Indiana Code / Title 26 / Article 1 / Chapter 4.1 / Section 26-1-4.1-210
Rejection of payment order
Status: in_force

Sec. 210. (a) A payment order is rejected by the receiving bank by a notice of rejection transmitted to the sender orally or in a record. A notice of rejection need not use any particular words and is sufficient if it indicates that the receiving bank is rejecting the order or will not execute or pay the order. Rejection is effective when the notice is given if transmission is by a means that is reasonable in the circumstances. If notice of rejection is given by a means that is not reasonable, rejection is effective when the notice is received. If an agreement of the sender and receiving bank establishes the means to be used to reject a payment order, (i) any means complying with the agreement is reasonable and (ii) any means not complying is not reasonable unless no significant delay in receipt of the notice resulted from the use of the noncomplying means.

(b) This subsection applies if a receiving bank other than the beneficiary's bank fails to execute a payment order despite the existence on the execution date of a withdrawable credit balance in an authorized account of the sender sufficient to cover the order. If the sender does not receive notice of rejection of the order on the execution date and the authorized account of the sender does not bear interest, the bank is obliged to pay interest to the sender on the amount of the order for the number of days elapsing after the execution date to the earlier of the day the order is canceled pursuant to IC 26-1-4.1-211(d) or the day the sender receives notice or learns that the order was not executed, counting the final day of the period as an elapsed day. If the withdrawable credit balance during that period falls below the amount of the order, the amount of interest is reduced accordingly.

(c) If a receiving bank suspends payments, all unaccepted payment orders issued to it are deemed rejected at the time the bank suspends payments.

(d) Acceptance of a payment order precludes a later rejection of the order. Rejection of a payment order precludes a later acceptance of the order.

As added by P.L.189-1991, SEC.4. Amended by P.L.199-2023, SEC.28.
Ind. Code § 26-1-2-302 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-302
Unconscionable contract or clause
Status: in_force

Sec. 302. (1) If the court as a matter of law finds the contract or any clause of the contract to have been unconscionable at the time it was made the court may refuse to enforce the contract, or it may enforce the remainder of the contract without the unconscionable clause, or it may so limit the application of any unconscionable clause as to avoid any unconscionable result.

(2) When it is claimed or appears to the court that the contract or any clause thereof may be unconscionable the parties shall be afforded a reasonable opportunity to present evidence as to its commercial setting, purpose and effect to aid the court in making the determination.

Formerly: Acts 1963, c.317, s.2-302.
Ind. Code § 26-1-2.1-506 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-506
Statute of limitations
Status: in_force

Sec. 506. (1) An action for default under a lease contract, including breach of warranty or indemnity, must be commenced within four (4) years after the cause of action accrued. By the original lease contract the parties may reduce the period of limitation to not less than one (1) year.

(2) A cause of action for default accrues when the act or omission on which the default or breach of warranty is based is or should have been discovered by the aggrieved party, or when the default occurs, whichever is later. A cause of action for indemnity accrues when the act or omission on which the claim for indemnity is based is or should have been discovered by the indemnified party, whichever is later.

(3) If an action commenced within the time limited by subsection (1) is so terminated as to leave available a remedy by another action for the same default or breach of warranty or indemnity, the other action may be commenced after the expiration of the time limited and within six (6) months after the termination of the first action unless the termination resulted from voluntary discontinuance or from dismissal for failure or neglect to prosecute.

(4) This section does not alter the law on tolling of the statute of limitations nor does it apply to causes of action that have accrued before IC 26-1-2.1 becomes effective.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-3-8-6 — Indiana Code / Title 26 / Article 3 / Chapter 8 / Section 26-3-8-6
"Owner"
Status: in_force

Sec. 6. As used in this chapter, "owner" means:

(1) the owner, operator, lessor, or sublessor of a self-service storage facility;

(2) the agent of a person described in subdivision (1); or

(3) any person authorized by a person described in subdivision (1) to manage a self-service storage facility or to receive rent from a renter under a rental agreement.

As added by P.L.265-1987, SEC.1. Amended by P.L.5-1988, SEC.140.
Ind. Code § 26-1-1-103 — Indiana Code / Title 26 / Article 1 / Chapter 1 / Section 26-1-1-103
Supplementary general principles of law applicable
Status: in_force

Sec. 103. Unless displaced by the particular provisions of IC 26-1, the principles of law and equity, including the law merchant and the law relative to capacity to contract, principal and agent, estoppel, fraud, misrepresentation, duress, coercion, mistake, bankruptcy, or other validating or invalidating cause, shall supplement the provisions of IC 26-1.

Formerly: Acts 1963, c.317, s.1-103. As amended by P.L.152-1986, SEC.112.
Ind. Code § 26-3-7-17.5 — Indiana Code / Title 26 / Article 3 / Chapter 7 / Section 26-3-7-17.5
Notice of revocation of license; notice of denial of application
Status: in_force

Sec. 17.5. (a) Whenever the license of a licensee is revoked, the director shall:

(1) for each facility operated by the licensee, publish a public notice in a newspaper of general circulation that serves the county in which the facility is located; and

(2) cause notice of the revocation to be posted at the facilities covered by the license.

(b) Whenever an application for licensure under this chapter is denied, the director may:

(1) for each facility operated by the applicant, publish a public notice in a newspaper of general circulation that serves the county in which the facility is located; and

(2) cause notice of the denial to be posted at the applicant's facilities.

(c) A notice posted under this section may not be removed without the written permission of the director.

As added by P.L.125-1997, SEC.39. Amended by P.L.60-2015, SEC.12; P.L.114-2025, SEC.28.
Ind. Code § 26-1-4.1-504 — Indiana Code / Title 26 / Article 1 / Chapter 4.1 / Section 26-1-4.1-504
Order in which items and payment orders may be charged to account; order of withdrawals from account
Status: in_force

Sec. 504. (a) If a receiving bank has received more than one (1) payment order of the sender or one (1) or more payment orders and other items that are payable from the sender's account, the bank may charge the sender's account with respect to the various orders and items in any sequence.

(b) In determining whether a credit to an account has been withdrawn by the holder of the account or applied to a debt of the holder of the account, credits first made to the account are first withdrawn or applied.

As added by P.L.189-1991, SEC.4.
Ind. Code § 26-1-2-724 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-724
Admissibility of market quotations
Status: in_force

Sec. 724. Whenever the prevailing price or value of any goods regularly bought and sold in any established commodity market is in issue, reports in official publications or trade journals or in newspapers or periodicals of general circulation published as the reports of such market shall be admissible in evidence. The circumstances of the preparation of such a report may be shown to affect its weight but not its admissibility.

Formerly: Acts 1963, c.317, s.2-724.
Ind. Code § 26-2-2-2 — Indiana Code / Title 26 / Article 2 / Chapter 2 / Section 26-2-2-2
Restriction on mortgagee's right of possession
Status: in_force

Sec. 2. The mortgagee of household goods shall not be entitled to the possession of the mortgaged property unless the mortgage specially provides that the mortgagee shall have possession of the mortgaged property from the time the mortgage is executed until sale, as provided in this chapter, and the mortgagee takes actual possession of such property when the mortgage is executed and holds it continuously until sale. In all other cases, the possession of the mortgaged property shall remain in the mortgagor until he is divested of his title by sale, as provided in section 1 of this chapter.

Formerly: Acts 1897, c.176, s.2. As amended by P.L.152-1986, SEC.302.
Ind. Code § 26-1-1-204 — Indiana Code / Title 26 / Article 1 / Chapter 1 / Section 26-1-1-204
Time; reasonable time; "seasonably"
Status: in_force

Sec. 204. (1) Whenever IC 26-1 requires any action to be taken within a reasonable time, any time which is not manifestly unreasonable may be fixed by agreement.

(2) What is a reasonable time for taking any action depends on the nature, purpose, and circumstances of such action.

(3) An action is taken "seasonably" when it is taken at or within the time agreed or, if no time is agreed, at or within a reasonable time.

Formerly: Acts 1963, c.317, s.1-204. As amended by P.L.152-1986, SEC.117.
Ind. Code § 26-1-1-202 — Indiana Code / Title 26 / Article 1 / Chapter 1 / Section 26-1-1-202
Prima facie evidence by third party documents
Status: in_force

Sec. 202. A document in due form purporting to be a bill of lading, policy or certificate of insurance, official weigher's or inspector's certificate, consular invoice, or any other document authorized or required by the contract to be issued by a third party shall be prima facie evidence of its own authenticity and genuineness and of the facts stated in the document by the third party.

Formerly: Acts 1963, c.317, s.1-202.
Ind. Code § 26-1-2.1-301 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-301
Enforceability of lease contract
Status: in_force

Sec. 301. Except as otherwise provided in IC 26-1-2.1, a lease contract is effective and enforceable according to its terms between the parties, against purchasers of the goods and against creditors of the parties.

As added by P.L.189-1991, SEC.3.
Ind. Code § 26-1-4-206 — Indiana Code / Title 26 / Article 1 / Chapter 4 / Section 26-1-4-206
Transfer between banks
Status: in_force

Sec. 206. Any agreed method that identifies the transferor bank is sufficient for the item's further transfer to another bank.

Formerly: Acts 1963, c.317, s.4-206. As amended by P.L.222-1993, SEC.22.
Ind. Code § 26-1-3.1-305 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-305
Defenses and claims in recoupment
Status: in_force

Sec. 305. (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 following:

(1) a defense of the obligor based on:

(A) infancy of the obligor to the extent it is a defense to a simple contract;

(B) duress, lack of legal capacity, or illegality of the transaction which, under other law, nullifies the obligation of the obligor;

(C) fraud that induced the obligor to sign the instrument with neither knowledge nor reasonable opportunity to learn of its character or its essential terms; or

(D) discharge of the obligor in insolvency proceedings;

(2) a defense of the obligor stated in another section of IC 26-1-3.1 or a defense of the obligor that would be available if the person entitled to enforce the instrument were enforcing a right to payment under a simple contract; and

(3) a claim in recoupment of the obligor against the original payee of the instrument if the claim arose from the transaction that gave rise to the instrument, but the claim of the obligor may be asserted against a transferee of the instrument only to reduce the amount owing on the instrument at the time the action is brought.

(b) The right of a holder in due course to enforce the obligation of a party to pay the instrument is subject to defenses of the obligor stated in subsection (a)(1), but is not subject to defenses of the obligor stated in subsection (a)(2) or claims in recoupment stated in subsection (a)(3) against a person other than the holder.

(c) Except as stated in subsection (d), in an action to enforce the obligation of a party to pay the instrument, the obligor may not assert against the person entitled to enforce the instrument a defense, claim in recoupment, or claim to the instrument (IC 26-1-3.1-306) of another person, but the other person's claim to the instrument may be asserted by the obligor if the other person is joined in the action and personally asserts the claim against the person entitled to enforce the instrument. An obligor is not obliged to pay the instrument if the person seeking enforcement of the instrument does not have rights of a holder in due course and the obligor proves that the instrument is a lost or stolen instrument.

(d) In an action to enforce the obligation of an accommodation party to pay an instrument, the accommodation party may assert against the person entitled to enforce the instrument any defense or claim in recoupment under subsection (a) that the accommodated party could assert against the person entitled to enforce the instrument, except the defenses of discharge in insolvency proceedings, infancy, and lack of legal capacity.

(e) In a consumer transaction, if law other than this article requires that an instrument include a statement to the effect that the rights of a holder or transferee are subject to a claim or defense that the issuer could assert against the original payee, and the instrument does not include such a statement:

(1) the instrument has the same effect as if the instrument included such a statement;

(2) the issuer may assert against the holder or transferee all claims and defenses that would have been available if the instrument included such a statement; and

(3) the extent to which claims may be asserted against the holder or transferee is determined as if the instrument included such a statement.

(f) This section is subject to law other than this article that establishes a different rule for consumer transactions.

As added by P.L.222-1993, SEC.5. Amended by P.L.135-2009, SEC.6.
Ind. Code § 26-1-4-201 — Indiana Code / Title 26 / Article 1 / Chapter 4 / Section 26-1-4-201
Status of collecting banks as agent and provisional status of credits; applicability of chapter; item endorsed "pay any bank"
Status: in_force

Sec. 201. (a) Unless a contrary intent clearly appears and before the time that a settlement given by a collecting bank for an item is or becomes final, the bank, with respect to the item, is an agent or subagent of the owner of the item, and any settlement given for the item is provisional. This provision applies regardless of the form of endorsement or lack of endorsement and even though credit given for the item is subject to immediate withdrawal as of right or is in fact withdrawn, but the continuance of ownership of an item by its owner and any rights of the owner to proceeds of the item are subject to rights of a collecting bank, such as those resulting from outstanding advances on the item and rights of recoupment or setoff. If an item is handled by banks for purposes of presentment, payment, collection, or return, the relevant provisions of IC 26-1-4 apply, even though action of the parties clearly establishes that a particular bank has purchased the item and is the owner of it.

(b) After an item has been endorsed with the words "pay any bank" or the like, only a bank may acquire the rights of a holder until the item has been:

(1) returned to the customer initiating collection; or

(2) specially endorsed by a bank to a person who is not a bank.

Formerly: Acts 1963, c.317, s.4-201. As amended by P.L.152-1986, SEC.213; P.L.222-1993, SEC.17.
Ind. Code § 26-1-1-0.3 — Indiana Code / Title 26 / Article 1 / Chapter 1 / Section 26-1-1-0.3
Certain security interests considered perfected
Status: in_force

Sec. 0.3. A security interest, for the perfection of which filing or the taking of possession was required under this article, as effective on December 31, 1985, and which attached before January 1, 1986, but was not perfected, is considered perfected on January 1, 1986, if P.L.93-1985 permits perfection without filing or authorizes filing in the office or offices where a prior ineffective filing was made.

As added by P.L.220-2011, SEC.413.
Ind. Code § 26-3-7-27 — Indiana Code / Title 26 / Article 3 / Chapter 7 / Section 26-3-7-27
Repealed
Status: repealed

Formerly: Acts 1973, P.L.268, SEC.1. As amended by Acts 1982, P.L.155, SEC.16. Repealed by P.L.125-1997, SEC.57.
Ind. Code § 26-1-9.1-331 — Indiana Code / Title 26 / Article 1 / Chapter 9.1 / Section 26-1-9.1-331
Priority of rights of holders or purchasers; persons protected against adverse claims; filing not considered notice of claim or defense
Status: in_force

Sec. 331. (a) This article does not limit the rights of a holder in due course of a negotiable instrument, a holder to which a negotiable document of title has been duly negotiated, a protected purchaser of a security, or a qualifying purchaser of a controllable account, controllable electronic record, or controllable payment intangible. These holders or purchasers take priority over an earlier security interest, even if perfected, to the extent provided in IC 26-1-3.1, IC 26-1-7, IC 26-1-8.1, and IC 26-1-12.

(b) This article does not limit the rights of or impose liability on a person to the extent that the person is protected against the assertion of an adverse claim under IC 26-1-8.1 or IC 26-1-12.

(c) Filing under IC 26-1-9.1 does not constitute notice of a claim or defense to the holders, purchasers, or persons described in subsections (a) and (b).

As added by P.L.57-2000, SEC.45. Amended by P.L.110-2022, SEC.6; P.L.199-2023, SEC.67.
Ind. Code § 26-1-1-0.6 — Indiana Code / Title 26 / Article 1 / Chapter 1 / Section 26-1-1-0.6
Application of article to certain questions of priority; exceptions
Status: in_force

Sec. 0.6. Except as otherwise provided in sections 0.2, 0.3, 0.4, and 0.5 of this chapter, this article, as effective on December 31, 1985, applies to any questions of priority if the positions of the parties were fixed before January 1, 1986. In other cases, questions of priority shall be determined by this article.

As added by P.L.220-2011, SEC.416.
Ind. Code § 26-1-8.1-502 — Indiana Code / Title 26 / Article 1 / Chapter 8.1 / Section 26-1-8.1-502
Adverse claims against person holding a security entitlement
Status: in_force

Sec. 502. An action based on an adverse claim to a financial asset, whether framed in conversion, replevin, constructive trust, equitable lien, or other theory, may not be asserted against a person who acquires a security entitlement under IC 26-1-8.1-501 for value and without notice of the adverse claim.

As added by P.L.247-1995, SEC.10.
Ind. Code § 26-1-2-311 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-311
Options and cooperation respecting performance
Status: in_force

Sec. 311. (1) An agreement for sale which is otherwise sufficiently definite (IC 26-1-2-204(3)) to be a contract is not made invalid by the fact that it leaves particulars of performance to be specified by one (1) of the parties. Any such specification must be made in good faith and within limits set by commercial reasonableness.

(2) Unless otherwise agreed, specifications relating to assortment of goods are at the buyer's option, and except as otherwise provided in IC 26-1-2-319(1)(c) and IC 26-1-2-319(3), specifications or arrangements relating to shipment are at the seller's option.

(3) Where such specification would materially affect the other party's performance but is not seasonably made, or where one (1) party's cooperation is necessary to the agreed performance of the other but is not seasonably forthcoming, the other party in addition to all other remedies:

(a) is excused for any resulting delay in his own performance; and

(b) may also either proceed to perform in any reasonable manner, or after the time for a material part of his own performance, treat the failure to specify or to cooperate as a breach by failure to deliver or accept the goods.

Formerly: Acts 1963, c.317, s.2-311. As amended by P.L.152-1986, SEC.134.
Ind. Code § 26-3-7-14 — Indiana Code / Title 26 / Article 3 / Chapter 7 / Section 26-3-7-14
Fines; revocation of license
Status: in_force

Sec. 14. (a) A licensee may not cancel an approved bond or approved insurance unless the director has given prior written approval for the cancellation and has received a substitute cash deposit or has approved a substitute bond or insurance. The surety on a bond may cancel a bond required by this chapter only after the expiration of ninety (90) days from the date the surety mailed a notice of intent to cancel, by registered or certified mail, to the director. An insurance company may cancel insurance required by this chapter only after the expiration of a thirty (30) day period from the mailing, by certified mail, of notice of intent to cancel, to the director. The surety and the insurance company shall, at the time of giving notice to the director, send a copy of the notice to the licensee.

(b) Notwithstanding any other provision of this chapter, a licensee shall automatically be fined one thousand dollars ($1,000) for failure to:

(1) file a new bond, letter of credit, or cash deposit within the ninety (90) day period as provided in this section;

(2) file new evidence of insurance within the thirty (30) day period as provided in this section; or

(3) maintain at all times a bond or cash deposit and insurance as provided in this chapter.

If a licensee fails to pay the fine and meet the requirements set forth in this subsection within ninety (90) days, the agency shall revoke the license of the licensee.

Formerly: Acts 1973, P.L.268, SEC.1. As amended by Acts 1979, P.L.249, SEC.8; P.L.125-1997, SEC.32; P.L.114-2025, SEC.20.
Ind. Code § 26-1-3.1-203 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-203
Transfer of instrument; rights acquired by transfer
Status: reserved

Sec. 203. (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 delivery the right to enforce the instrument.

(b) Transfer of an instrument, whether or not the transfer is a negotiation, vests in the transferee any right of the transferor to enforce the instrument, including any right as a holder in due course, but the transferee cannot acquire rights of a holder in due course by a transfer, directly or indirectly, from a holder in due course if the transferee engaged in fraud or illegality affecting the instrument.

(c) Unless otherwise agreed, if an instrument is transferred for value and the transferee does not become a holder because of lack of endorsement by the transferor, the transferee has a specifically enforceable right to the unqualified endorsement of the transferor, but negotiation of the instrument does not occur until the endorsement is made.

(d) If a transferor purports to transfer less than the entire instrument, negotiation of the instrument does not occur. The transferee obtains no rights under IC 26-1-3.1 and has only the rights of a partial assignee.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-3.1-501 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-501
Presentment
Status: in_force

Sec. 501. (a) "Presentment" means a demand made by or on behalf of a person entitled to enforce an instrument:

(1) to pay the instrument made to the drawee or a party obliged to pay the instrument or, in the case of a note or accepted draft payable at a bank, to the bank; or

(2) to accept a draft made to the drawee.

(b) The following rules are subject to IC 26-1-4, agreement of the parties, and clearing-house rules and the like:

(1) Presentment may be made at the place of payment of the instrument and must be made at the place of payment if the instrument is payable at a bank in the United States; may be made by any commercially reasonable means, including an oral, written, or electronic communication; is effective when the demand for payment or acceptance is received by the person to whom presentment is made; and is effective if made to any one (1) of two (2) or more makers, acceptors, drawees, or other payors.

(2) Upon demand of the person to whom presentment is made, the person making presentment must:

(A) exhibit the instrument;

(B) give reasonable identification and, if presentment is made on behalf of another person, reasonable evidence of authority to do so; and

(C) sign a receipt on the instrument for any payment made or surrender the instrument if full payment is made.

(3) Without dishonoring the instrument, the party to whom presentment is made may:

(A) return the instrument for lack of a necessary endorsement; or

(B) refuse payment or acceptance for failure of the presentment to comply with the terms of the instrument, an agreement of the parties, or other applicable law or rule.

(4) The party to whom presentment is made may treat presentment as occurring on the next business day after the day of presentment if the party to whom presentment is made has established a cut-off hour not earlier than 2 p.m. for the receipt and processing of instruments presented for payment or acceptance and presentment is made after the cut-off hour.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-7-205 — Indiana Code / Title 26 / Article 1 / Chapter 7 / Section 26-1-7-205
Title under warehouse receipt defeated in certain cases
Status: in_force

Sec. 205. A buyer in the ordinary course of business of fungible goods sold and delivered by a warehouse that is also in the business of buying and selling such goods takes the goods free of any claim under a warehouse receipt even if the receipt is negotiable and has been duly negotiated.

Formerly: Acts 1963, c.317, s.7-205. As amended by P.L.143-2007, SEC.34.
Ind. Code § 26-4-1-18 — Indiana Code / Title 26 / Article 4 / Chapter 1 / Section 26-4-1-18
"Producer"
Status: in_force

Sec. 18. "Producer" means an owner of land, a tenant on land, or an operator of a farm that has an interest in and receives all or any part of the proceeds from the sale to a first purchaser licensee of the grain produced.

As added by P.L.250-1995, SEC.1. Amended by P.L.145-2017, SEC.15.
Ind. Code § 26-1-2.1-523 — Indiana Code / Title 26 / Article 1 / Chapter 2.1 / Section 26-1-2.1-523
Lessor's remedies
Status: in_force

Sec. 523. (1) If a lessee wrongfully rejects or revokes acceptance of goods or fails to make a payment when due or repudiates with respect to a part or the whole, then, with respect to any goods involved, and with respect to all of the goods if under an installment lease contract the value of the whole lease contract is substantially impaired (IC 26-1-2.1-510), the lessee is in default under the lease contract and the lessor may:

(a) cancel the lease contract (IC 26-1-2.1-505(1));

(b) proceed respecting goods not identified to the lease contract (IC 26-1-2.1-524);

(c) withhold delivery of the goods and take possession of goods previously delivered (IC 26-1-2.1-525);

(d) stop delivery of the goods by any bailee (IC 26-1-2.1-526);

(e) dispose of the goods and recover damages (IC 26-1-2.1-527), or retain the goods and recover damages (IC 26-1-2.1-528), or in a proper case recover rent (IC 26-1-2.1-529); and

(f) exercise any other rights or pursue any other remedies provided in the lease contract.

(2) If a lessor does not fully exercise a right or obtain a remedy to which the lessor is entitled under subsection (1), the lessor may recover the loss resulting in the ordinary course of events from the lessee's default as determined in any reasonable manner, together with incidental damages, less expenses saved in consequence of the lessee's default.

(3) If a lessee is otherwise in default under a lease contract, the lessor may exercise the rights and pursue the remedies provided in the lease contract, which may include a right to cancel the lease. In addition, unless otherwise provided in the lease contract:

(a) if the default substantially impairs the value of the lease contract to the lessor, the lessor may exercise the rights and pursue the remedies provided in subsection (1) or (2); or

(b) if the default does not substantially impair the value of the lease contract to the lessor, the lessor may recover as provided in subsection (2).

As added by P.L.189-1991, SEC.3. Amended by P.L.1-1992, SEC.136.
Ind. Code § 26-4-1-22 — Indiana Code / Title 26 / Article 4 / Chapter 1 / Section 26-4-1-22
Repealed
Status: repealed

As added by P.L.250-1995, SEC.1. Amended by P.L.173-1999, SEC.17. Repealed by P.L.75-2010, SEC.35.
Ind. Code § 26-1-8.1-402 — Indiana Code / Title 26 / Article 1 / Chapter 8.1 / Section 26-1-8.1-402
Issuer's right to assurances
Status: in_force

Sec. 402. (a) An issuer may require the following assurance that each necessary endorsement or each instruction is genuine and authorized:

(1) in all cases, a guaranty of the signature of the person making an endorsement or originating an instruction including, in the case of an instruction, reasonable assurance of identity;

(2) if the endorsement is made or the instruction is originated by an agent, appropriate assurance of actual authority to sign;

(3) if the endorsement is made or the instruction is originated by a fiduciary under IC 26-1-8.1-107(a)(4) or IC 26-1-8.1-107(a)(5), appropriate evidence of appointment or incumbency;

(4) if there is more than one (1) fiduciary, reasonable assurance that all who are required to sign have done so; and

(5) if the endorsement is made or the instruction is originated by a person not covered by another provision of this subsection, assurance appropriate to the case corresponding as nearly as may be to the provisions of this subsection.

(b) An issuer may elect to require reasonable assurance beyond that specified in this section.

(c) In this section:

(1) "Guaranty of the signature" means a guaranty signed by or on behalf of a person reasonably believed by the issuer to be responsible. An issuer may adopt standards with respect to responsibility if they are not manifestly unreasonable.

(2) "Appropriate evidence of appointment or incumbency" means:

(i) in the case of a fiduciary appointed or qualified by a court, a certificate issued by or under the direction or supervision of the court or an officer thereof and dated within sixty (60) days before the date of presentation for transfer; or

(ii) in any other case, a copy of a document showing the appointment or a certificate issued by or on behalf of a person reasonably believed by an issuer to be responsible or, in the absence of that document or certificate, other evidence the issuer reasonably considers appropriate.

As added by P.L.247-1995, SEC.10.
Ind. Code § 26-1-2-306 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-306
Output, requirements, and exclusive dealings
Status: in_force

Sec. 306. (1) A term which measures the quantity by the output of the seller or the requirements of the buyer means such actual output or requirements as may occur in good faith, except that no quantity unreasonably disproportionate to any stated estimate or in the absence of a stated estimate to any normal or otherwise comparable prior output or requirements may be tendered or demanded.

(2) A lawful agreement by either the seller or the buyer for exclusive dealing in the kind of goods concerned imposes unless otherwise agreed an obligation by the seller to use best efforts to supply the goods and by the buyer to use best efforts to promote their sale.

Formerly: Acts 1963, c.317, s.2-306.
Ind. Code § 26-1-3.1-409 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-409
Acceptance of draft; certified check
Status: in_force

Sec. 409. (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 drawee's signature alone. Acceptance may be made at any time and becomes effective when notification pursuant to instructions is given or the accepted draft is delivered for the purpose of giving rights on the acceptance to any person.

(b) A draft may be accepted although it has not been signed by the drawer, is otherwise incomplete, is overdue, or has been dishonored.

(c) If a draft is payable at a fixed period after sight and the acceptor fails to date the acceptance, the holder may complete the acceptance by supplying a date in good faith.

(d) "Certified check" means a check accepted by the bank on which it is drawn. Acceptance may be made as stated in subsection (a) or by a writing on the check which indicates that the check is certified. The drawee of a check has no obligation to certify the check, and refusal to certify is not dishonor of the check.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-2-310 — Indiana Code / Title 26 / Article 1 / Chapter 2 / Section 26-1-2-310
Open time for payment or running of credit; authority to ship under reservation
Status: in_force

Sec. 310. Unless otherwise agreed:

(a) payment is due at the time and place at which the buyer is to receive the goods, even though the place of shipment is the place of delivery; and

(b) if the seller is authorized to send the goods, he may ship them under reservation and may tender the documents of title, but the buyer may inspect the goods after their arrival before payment is due, unless such inspection is inconsistent with the terms of the contract (IC 26-1-2-513); and

(c) if delivery is authorized and made by way of documents of title otherwise than by subdivision (b), then payment is due, regardless of where the goods are to be received:

(i) at the time and place at which the buyer is to receive delivery of the tangible documents; or

(ii) at the time the buyer is to receive delivery of the electronic documents and at the seller's place of business or, if none, the seller's residence; and

(d) where the seller is required or authorized to ship the goods on credit, the credit period runs from the time of shipment, but postdating the invoice or delaying its dispatch will correspondingly delay the starting of the credit period.

Formerly: Acts 1963, c.317, s.2-310. As amended by P.L.152-1986, SEC.133; P.L.143-2007, SEC.10.
Ind. Code § 26-1-3.1-101 — Indiana Code / Title 26 / Article 1 / Chapter 3.1 / Section 26-1-3.1-101
Short title
Status: in_force

Sec. 101. IC 26-1-3.1 may be cited as Uniform Commercial Code ─ Negotiable Instruments.

As added by P.L.222-1993, SEC.5.
Ind. Code § 26-1-8.1-504 — Indiana Code / Title 26 / Article 1 / Chapter 8.1 / Section 26-1-8.1-504
Maintenance of financial assets by securities intermediary; exempted entity
Status: in_force

Sec. 504. (a) A securities intermediary shall promptly obtain and thereafter maintain a financial asset in a quantity corresponding to the aggregate of all security entitlements it has established in favor of its entitlement holders with respect to that financial asset. The securities intermediary may maintain those financial assets directly or through one (1) or more other securities intermediaries.

(b) Except to the extent otherwise agreed by its entitlement holder, a securities intermediary may not grant any security interests in a financial asset it is obligated to maintain under subsection (a).

(c) A securities intermediary satisfies the duty in subsection (a) if:

(1) the securities intermediary acts with respect to the duty as agreed upon by the entitlement holder and the securities intermediary; or

(2) in the absence of agreement, the securities intermediary exercises due care in accordance with reasonable commercial standards to obtain and maintain the financial asset.

(d) This section does not apply to a clearing corporation that is itself the obligor of an option or similar obligation to which its entitlement holders have security entitlements.

As added by P.L.247-1995, SEC.10.
Ind. Code § 26-4-1-4 — Indiana Code / Title 26 / Article 4 / Chapter 1 / Section 26-4-1-4
"Board"
Status: in_force

Sec. 4. "Board" means the governing body of the Indiana grain indemnity corporation created by IC 26-4-3-2.

As added by P.L.250-1995, SEC.1.