An Act To Clarify the Application of the Statute of Limitations under Article 3-A of the Uniform Commercial Code
Maine Legislature, Session 128, LD 0533
Committee: Judiciary
Sponsors: COOPER, CARPENTER, BREEN, BROOKS, RYKERSON
Amends: 11 MRSA §3

Legislative Document
No. 533
H.P. 377
House of Representatives, February 9, 2017
An Act To Clarify the Application of the Statute of Limitations 
under Article 3-A of the Uniform Commercial Code
Reference to the Committee on Judiciary suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative COOPER of Yarmouth.
Cosponsored by Senator CARPENTER of Aroostook, Senator BREEN of Cumberland and
Representatives: BROOKS of Lewiston, RYKERSON of Kittery.
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  11 MRSA §3-1118, sub-§(1), as enacted by PL 1993, c. 293, Pt. A, §2, is 
amended to read: 
(1).    Except as provided in subsection (5), an action to enforce the obligation of a 
party to pay a note payable at a definite time must be commenced within 6 years after the 
due date or dates stated in the note or, if a due date is accelerated, within 6 years after the 
accelerated due date.  This subsection applies to all negotiable instruments, 
notwithstanding any statute of limitations of differing length set forth in any other statute. 
Sec. 2.  Notice.  Promptly after the effective date of this Act, the Department of 
Professional and Financial Regulation, Bureau of Financial Institutions and Bureau of 
Consumer Credit Protection shall give written notice of the provisions of this Act to all 
financial institutions, mortgage servicers and debt collectors regulated by or registered 
with them and to other entities and agencies that have interests in loans that may be 
affected by this Act. 
Sec. 3.  Application.  This Act does not apply to a negotiable instrument that exists 
on the effective date of this Act and that is subject to a statute of limitations longer than 6 
years prior to the effective date of this Act until 90 days after the effective date of this 
Act. 
SUMMARY 
The Maine Revised Statutes, Title 11, section 3-1118, subsection (1) in Article 3-A of 
the Uniform Commercial Code, which governs negotiable instruments, provides for a 6-
year statute of limitations for enforcement of negotiable instruments.  In 2004, the Maine 
Supreme Judicial Court sitting as the Law Court held in Fleet National Bank v. Liberty, 
2004 ME 36, 845 A.2d 1183, that Title 11, section 3-1118, subsection (1) did not repeal 
the 20-year statute of limitations for some types of instruments in Title 14, section 751, 
either expressly or by implication.  This bill provides that the 6-year statute of limitations 
in Title 11, section 3-1118, subsection (1) applies to all negotiable instruments, 
notwithstanding the 20-year statute of limitations for some types of instruments in Title 
14, section 751. 
This bill also provides that the 6-year statute of limitations does not apply to certain 
negotiable instruments until 90 days after the legislation takes effect.  It requires the 
Department of Professional and Financial Regulation, Bureau of Financial Institutions 
and Bureau of Consumer Credit Protection to give written notice to all financial 
institutions, mortgage servicers and debt collectors regulated by or registered with them 
and to other entities and agencies that have interests in loans that may be affected by this 
legislation.