reglab/statecodes huggingface dataset:
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 3: ENFORCEMENT OF INSTRUMENTS › 11 §3-1304. Overdue instrument

§3-1304. Overdue instrument
(1).
An instrument payable on demand becomes overdue at the earliest of the following times:
(a). On the day after the day demand for payment is duly made;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). If the instrument is a check, 90 days after its date; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). If the instrument is not a check, when the instrument has been outstanding for a period of time after its date that is unreasonably long under the circumstances of the particular case in light of the nature of the instrument and usage of the trade.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
With respect to an instrument payable at a definite time the following rules apply:
(a). If the principal is payable in installments and a due date has not been accelerated, the instrument becomes overdue upon default under the instrument for nonpayment of an installment, and the instrument remains overdue until the default is cured.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). If the principal is not payable in installments and the due date has not been accelerated, the instrument becomes overdue on the day after the due date.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). If a due date with respect to principal has been accelerated, the instrument becomes overdue on the day after the accelerated due date.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
Unless the due date of principal has been accelerated, an instrument does not become overdue if there is default in payment of interest but no default in payment of principal.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 3: ENFORCEMENT OF INSTRUMENTS › 11 §3-1306. Claims to an instrument

§3-1306. Claims to an instrument
A person taking an instrument, other than a person having rights of a holder in due course, is subject to a claim of a property or possessory right in the instrument or its proceeds, including a claim to rescind a negotiation and to recover the instrument or its proceeds. A person having rights of a holder in due course takes free of the claim to the instrument.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 3: ENFORCEMENT OF INSTRUMENTS › 11 §3-1307. Notice of breach of fiduciary duty

§3-1307. Notice of breach of fiduciary duty
(1).
In this section:
(a). "Fiduciary" means an agent, trustee, partner, corporate officer or director, or other representative owing a fiduciary duty with respect to an instrument; and   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). "Represented person" means the principal, beneficiary, partnership, corporation or other person to whom the duty stated in paragraph (a) is owed.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
If an instrument is taken from a fiduciary for payment or collection or for value, the taker has knowledge of the fiduciary status of the fiduciary and 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.
(a). Notice of breach of fiduciary duty by the fiduciary is notice of the claim of the represented person.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). 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:
(i) Taken in payment of or as security for a debt known by the taker to be the personal debt of the fiduciary;
(ii) Taken in a transaction known by the taker to be for the personal benefit of the fiduciary; or
(iii) Deposited to an account other than an account of the fiduciary, as such, or an account of the represented person.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). 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.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(d). 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:
(i) Taken in payment of or as security for a debt known by the taker to be the personal debt of the fiduciary;
(ii) Taken in a transaction known by the taker to be for the personal benefit of the fiduciary; or
(iii) Deposited to an account other than an account of the fiduciary as such or an account of the represented person.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 3: ENFORCEMENT OF INSTRUMENTS › 11 §3-1308. Proof of signatures and status as holder in due course

§3-1308. Proof of signatures and status as holder in due course
(1).
In an action with respect to an instrument, the authenticity of, and authority to make, each signature on the instrument is admitted unless specifically denied in the pleadings. If the validity of a signature is denied in the pleadings, the burden of establishing validity is on the person claiming validity, but the signature is presumed to be authentic and authorized unless the action is to enforce the liability of the purported signer and the signer is dead or incompetent at the time of trial of the issue of validity of the signature. If an action to enforce the instrument is brought against a person as the undisclosed principal of a person who signed the instrument as a party to the instrument, the plaintiff has the burden of establishing that the defendant is liable on the instrument as a represented person under section 3-1402, subsection (1).
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
If the validity of signatures is admitted or proved and there is compliance with subsection (1), a plaintiff producing the instrument is entitled to payment if the plaintiff proves entitlement to enforce the instrument under section 3-1301, unless the defendant proves a defense or claim in recoupment. If a defense or claim in recoupment is proved, the right to payment of the plaintiff is subject to the defense or claim, except to the extent the plaintiff proves that the plaintiff has rights of a holder in due course which are not subject to the defense or claim.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 3: ENFORCEMENT OF INSTRUMENTS › 11 §3-1309. Enforcement of lost, destroyed or stolen instrument

§3-1309. Enforcement of lost, destroyed or stolen instrument
(1).
A person not in possession of an instrument is entitled to enforce the instrument if:
(a). The person was in possession of the instrument and entitled to enforce it when loss of possession occurred;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The loss of possession was not the result of a transfer by the person or a lawful seizure; and   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). The person can not reasonably obtain possession of the instrument because the instrument was destroyed, its whereabouts can not be determined or it is in the wrongful possession of an unknown person or a person that can not be found or is not amenable to service of process.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
A person seeking enforcement of an instrument under subsection (1) must prove the terms of the instrument and the person's right to enforce the instrument. If that proof is made, Section 3-1308 applies to the case as if the person seeking enforcement had produced the instrument. The court may not enter judgment in favor of the person seeking enforcement unless it finds that the person required to pay the instrument is adequately protected against loss that might occur by reason of a claim by another person to enforce the instrument. Adequate protection may be provided by any reasonable means.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 3: ENFORCEMENT OF INSTRUMENTS › 11 §3-1310. Effect of instrument on obligation for which taken

§3-1310. Effect of instrument on obligation for which taken
(1).
Unless otherwise agreed, if a certified check, cashier's check or teller's check is taken for an obligation, the obligation is discharged to the same extent discharge would result if an amount of money equal to the amount of the instrument were taken in payment of the obligation. Discharge of the obligation does not affect any liability that the obligor may have as an indorser of the instrument.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
Unless otherwise agreed and except as provided in subsection (1), if a note or an uncertified check is taken for an obligation, the obligation is suspended to the same extent the obligation would be discharged if an amount of money equal to the amount of the instrument were taken and the following rules apply.
(a). In the case of an uncertified check, suspension of the obligation continues until dishonor of the check or until it is paid or certified. Payment or certification of the check results in discharge of the obligation to the extent of the amount of the check.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). In the case of a note, suspension of the obligation continues until dishonor of the note or until it is paid. Payment of the note results in discharge of the obligation to the extent of the payment.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). Except as provided in paragraph (d), if the check or note is dishonored and the obligee of the obligation for which the instrument was taken is the person entitled to enforce the instrument, the obligee may enforce either the instrument or the obligation. In the case of an instrument of a 3rd person that is negotiated to the obligee by the obligor, discharge of the obligor on the instrument also discharges the obligation.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(d). If the person entitled to enforce the instrument taken for an obligation is a person other than the obligee, the obligee may not enforce the obligation to the extent the obligation is suspended. If the obligee is the person entitled to enforce the instrument but no longer has possession of it because it was lost, stolen or destroyed, the obligation may not be enforced to the extent of the amount payable on the instrument and to that extent the obligee's rights against the obligor are limited to enforcement of the instrument.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
If an instrument other than one described in subsection (1) or (2) is taken for an obligation, the effect is:
(a). That effect stated in subsection (1) if the instrument is one on which a bank is liable as maker or acceptor; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). That effect stated in subsection (2) in any other case.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 3: ENFORCEMENT OF INSTRUMENTS › 11 §3-1311. Accord and satisfaction by use of instrument

§3-1311. Accord and satisfaction by use of instrument
(1).
Subsections (2) to (4) apply if a person against whom a claim is asserted proves that:
(a). The person in good faith tendered an instrument to the claimant as full satisfaction of the claim;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The amount of the claim was unliquidated or subject to a bona fide dispute; and   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). The claimant obtained payment of the instrument.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
Unless subsection (3) applies, the claim is discharged if the person against whom the claim is asserted proves that the instrument or an accompanying written communication contained a conspicuous statement to the effect that the instrument was tendered as full satisfaction of the claim.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
Subject to subsection (4), a claim is not discharged under subsection (2) if either of the following applies:
(a). The claimant, if an organization, proves that:
(i) Within a reasonable time before the tender, the claimant sent a conspicuous statement to the person against whom the claim is asserted that communications concerning disputed debts, including an instrument tendered as full satisfaction of a debt, are to be sent to a designated person, office or place; and
(ii) The instrument or accompanying communication was not received by that designated person, office or place; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The claimant, whether or not an organization, proves that within 90 days after payment of the instrument, the claimant tendered repayment of the amount of the instrument to the person against whom the claim is asserted. This paragraph does not apply if the claimant is an organization that sent a statement complying with paragraph (a), subparagraph (i).   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
A claim is discharged if the person against whom the claim is asserted proves that within a reasonable time before collection of the instrument was initiated, the claimant, or an agent of the claimant having direct responsibility with respect to the disputed obligation, knew that the instrument was tendered in full satisfaction of the claim.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1401. Signature

§3-1401. Signature
(1).
A person is not liable on an instrument unless:
(a). The person signed the instrument; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The person is represented by an agent or representative who signed the instrument and the signature is binding on the represented person under section 3-1402.   [RR 2011, c. 1, §13 (COR).]
[RR 2011, c. 1, §13 (COR).]
(2).
A signature may be made:
(a). Manually or by means of a device or machine; and   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). By the use of any name, including a trade or assumed name, or by a word, mark, or symbol executed or adopted by a person with present intention to authenticate a writing.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW). RR 2011, c. 1, §13 (COR).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1402. Signature by representative

§3-1402. Signature by representative
(1).
If a person acting, or purporting to act, as a representative signs an instrument by signing either the name of the represented person or the name of the signer, the represented person is bound by the signature to the same extent the represented person would be bound if the signature were on a simple contract. If the represented person is bound, the signature of the representative is the authorized signature of the represented person and the represented person is liable on the instrument, whether or not identified in the instrument.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
If a representative signs the name of the representative to an instrument and the signature is an authorized signature of the represented person, the following rules apply.
(a). If the form of the signature shows unambiguously that the signature is made on behalf of the represented person who is identified in the instrument, the representative is not liable on the instrument.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). Subject to subsection (3), the representative is liable on the instrument to a holder in due course that took the instrument without notice that the representative was not intended to be liable on the instrument if:
(i) The form of the signature does not show unambiguously that the signature is made in a representative capacity; or
(ii) The represented person is not identified in the instrument.
With respect to any other person, the representative is liable on the instrument unless the representative proves that the original parties did not intend the representative to be liable on the instrument.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
If a representative signs the name of the representative as drawer of a check without indication of the representative status and the check is payable from an account of the represented person who is identified on the check, the signer is not liable on the check if the signature is an authorized signature of the represented person.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1403. Unauthorized signature

§3-1403. Unauthorized signature
(1).
Unless otherwise provided in this Article or Article 4, an unauthorized signature is ineffective except as the signature of the unauthorized signer in favor of a person who in good faith pays the instrument or takes it for value. An unauthorized signature may be ratified for all purposes of this Article.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
If the signature of more than one person is required to constitute the authorized signature of an organization, the signature of the organization is unauthorized if one of the required signatures is lacking.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
The civil or criminal liability of a person who makes an unauthorized signature is not affected by any provision of this Article that makes the unauthorized signature effective for the purposes of this Article.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1404. Impostors; fictitious payees

§3-1404. Impostors; fictitious payees
(1).
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 indorsement of the instrument by any person in the name of the payee is effective as the indorsement of the payee in favor of a person who in good faith pays the instrument or takes it for value or for collection.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
If a person whose intent determines to whom an instrument is payable pursuant to section 3‑1110, subsection (1) or (2) does not intend the person identified as payee to have any interest in the instrument or the person identified as payee of an instrument is a fictitious person, the following rules apply until the instrument is negotiated by special indorsement.
(a). Any person in possession of the instrument is its holder.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). An indorsement by any person in the name of the payee stated in the instrument is effective as the indorsement of the payee in favor of a person who, in good faith, pays the instrument or takes it for value or for collection.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[RR 2021, c. 2, Pt. A, §17 (COR).]
(3).
Under subsection (1) or (2), an indorsement is made in the name of a payee if:
(a). It is made in a name substantially similar to that of the payee; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The instrument, whether or not indorsed, is deposited in a depositary bank to an account in a name substantially similar to that of the payee.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
With respect to an instrument to which subsection (1) or (2) 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 failure to exercise ordinary care contributed to the loss.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW). RR 2021, c. 2, Pt. A, §17 (COR).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1406. Negligence contributing to forged signature or alteration of instrument

§3-1406. Negligence contributing to forged signature or alteration of instrument
(1).
A person whose failure to exercise ordinary care substantially contributes to an alteration of an instrument or to the making of a forged signature on an instrument is precluded from asserting the alteration or the forgery against a person who, in good faith, pays the instrument or takes it for value or for collection.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
Under subsection (1), if the person asserting the preclusion fails to exercise ordinary care in paying or taking the instrument and that failure substantially contributes to loss, the loss is allocated between the person precluded and the person asserting the preclusion according to the extent to which the failure of each to exercise ordinary care contributed to the loss.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
Under subsection (1), the burden of proving failure to exercise ordinary care is on the person asserting the preclusion. Under subsection (2), the burden of proving failure to exercise ordinary care is on the person precluded.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1407. Alteration

§3-1407. Alteration
(1).
"Alteration" means:
(a). An unauthorized change in an instrument that purports to modify in any respect the obligation of a party; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). An unauthorized addition of words or numbers or other change to an incomplete instrument related to the obligation of a party.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
Except as provided in subsection (3), an alteration fraudulently made discharges a party whose obligation is affected by the alteration unless that party assents or is precluded from asserting the alteration. No other alteration discharges a party, and the instrument may be enforced according to its original terms.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
A payor bank or drawee paying a fraudulently altered instrument or a person taking it for value, in good faith and without notice of the alteration, may enforce rights with respect to the instrument:
(a). According to its original terms; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). In the case of an incomplete instrument altered by unauthorized completion, according to its terms as completed.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1408. Drawee not liable on unaccepted draft

§3-1408. Drawee not liable on unaccepted draft
A check or other draft does not of itself operate as an assignment of funds in the hands of the drawee available for its payment, and the drawee is not liable on the instrument until the drawee accepts it.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1409. Acceptance of draft; certified check

§3-1409. Acceptance of draft; certified check
(1).
"Acceptance" means the drawee's signed agreement to pay a draft as presented. Acceptance 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.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
A draft may be accepted although it has not been signed by the drawer, is otherwise incomplete, is overdue or has been dishonored.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
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.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
"Certified check" means a check accepted by the bank on which it is drawn. Acceptance may be made as stated in subsection (1) or by a writing on the check that 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.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1410. Acceptance varying draft

§3-1410. Acceptance varying draft
(1).
If the terms of a drawee's acceptance vary from the terms of the draft as presented, the holder may refuse the acceptance and treat the draft as dishonored. In that case, the drawee may cancel the acceptance.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
The terms of a draft are not varied by an acceptance to pay at a particular bank or place in the United States, unless the acceptance states that the draft is to be paid only at that bank or place.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
If the holder assents to an acceptance varying the terms of a draft, the obligation of each drawer and indorser that does not expressly assent to the acceptance is discharged.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1411. Refusal to pay cashier's checks, teller's checks and certified checks

§3-1411. Refusal to pay cashier's checks, teller's checks and certified checks
(1).
In this section, "obligated bank" means the acceptor of a certified check or the issuer of a cashier's check or teller's check bought from the issuer.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
The person asserting the right to enforce the check is entitled to compensation for expenses and loss of interest resulting from the nonpayment and may recover consequential damages if the obligated bank refuses to pay after receiving notice of particular circumstances giving rise to the damages and if the obligated bank wrongfully:
(a). Refuses to pay a cashier's check or certified check;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). Stops payment of a teller's check; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). Refuses to pay a dishonored teller's check.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
Expenses or consequential damages under subsection (2) are not recoverable if the refusal of the obligated bank to pay occurs because:
(a). The bank suspends payments;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The obligated bank asserts a claim or defense of the bank that it has reasonable grounds to believe is available against the person entitled to enforce the instrument;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). The obligated bank has a reasonable doubt whether the person demanding payment is the person entitled to enforce the instrument; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(d). Payment is prohibited by law.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1412. Obligation of issuer of note or cashier's check

§3-1412. Obligation of issuer of note or cashier's check
The issuer of a note or cashier's check or other draft drawn on the drawer is obliged to pay the instrument:   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(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
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
If the issuer signed an incomplete instrument, according to its terms when completed, to the extent stated in sections 3‑1115 and 3‑1407. The obligation is owed to a person entitled to enforce the instrument or to an indorser who paid the instrument under section 3‑1415.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1413. Obligation of acceptor

§3-1413. Obligation of acceptor
(1).
The acceptor of a draft is obliged to pay the draft:
(a). 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;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). If the acceptance varies the terms of the draft, according to the terms of the draft as varied; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). If the acceptance is of a draft that is an incomplete instrument, according to its terms when completed, to the extent stated in sections 3‑1115 and 3‑1407.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
The obligation is owed to a person entitled to enforce the draft or to the drawer or an indorser who paid the draft under section 3‑1414 or 3‑1415.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
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 the certification or acceptance does not state an amount, the amount of the instrument is subsequently raised and 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.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1414. Obligation of drawer

§3-1414. Obligation of drawer
(1).
This section does not apply to cashier's checks or other drafts drawn on the drawer.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
When an unaccepted draft is dishonored, the drawer is obliged to pay the draft:
(a). 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   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). If the drawer signed an incomplete instrument, according to its terms when completed, to the extent stated in sections 3‑1115 and 3‑1407.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
The obligation is owed to a person entitled to enforce the draft or to an indorser who paid the draft under section 3‑1415.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
If a draft is accepted by a bank, the drawer is discharged, regardless of when or by whom acceptance was obtained.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
When a draft is accepted and the acceptor is not a bank, the obligation of the drawer to pay the draft if the draft is dishonored by the acceptor is the same as the obligation of an indorser under section 3‑1415, subsections (1) and (3).
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(5).
If a draft states that it is drawn without recourse or otherwise disclaims liability of the drawer to pay the draft, the drawer is not liable under subsection (2) to pay the draft when the draft is not a check. A disclaimer of the liability stated in subsection (2) is not effective if the draft is a check.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(6).
The drawer, to the extent deprived of funds, may discharge its obligation to pay the check by assigning to the person entitled to enforce the check the rights of the drawer against the drawee with respect to the funds if:
(a). A check is not presented for payment or given to a depositary bank for collection within 30 days after its date;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The drawee suspends payments after expiration of the 30-day period without paying the check; and   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). Because of the suspension of payments, the drawer is deprived of funds maintained with the drawee to cover payment of the check.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1415. Obligation of indorser

§3-1415. Obligation of indorser
(1).
Subject to subsections (2), (3), (4) and (5) and to section 3‑1419, subsection (4), when an instrument is dishonored, an indorser is obliged to pay the amount due on the instrument:
(a). According to the terms of the instrument at the time it was indorsed; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). If the indorser indorsed an incomplete instrument, according to its terms when completed, to the extent stated in sections 3‑1115 and 3‑1407.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
The obligation of the indorser is owed to a person entitled to enforce the instrument or to a subsequent indorser who paid the instrument under this section.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
If an indorsement states that it is made "without recourse" or otherwise disclaims liability of the indorser, the indorser is not liable under subsection (1) to pay the instrument.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
If notice of dishonor of an instrument is required by section 3‑1503 and notice of dishonor complying with that section is not given to an indorser, the liability of the indorser under subsection (1) is discharged.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
If a draft is accepted by a bank after an indorsement is made, the liability of the indorser under subsection (1) is discharged.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(5).
If an indorser of a check is liable under subsection (1) and the check is not presented for payment, or given to a depositary bank for collection, within 30 days after the day the indorsement was made, the liability of the indorser under subsection (1) is discharged.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1416. Transfer warranties

§3-1416. Transfer warranties
(1).
A person who transfers an instrument for consideration shall warrant to the transferee and, if the transfer is by indorsement, to any subsequent transferee that:
(a). The warrantor is a person entitled to enforce the instrument;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). All signatures on the instrument are authentic and authorized;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). The instrument has not been altered;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(d). The instrument is not subject to a defense or claim in recoupment of any party that may be asserted against the warrantor;   [PL 2003, c. 594, §4 (AMD).]
(e). The warrantor has no knowledge of any insolvency proceeding commenced with respect to the maker or acceptor or, in the case of an unaccepted draft, the drawer; and   [PL 2003, c. 594, §4 (AMD).]
(f). If the instrument is a demand draft, creation of the instrument according to the terms on its face was authorized by the person identified as the drawer.   [PL 2003, c. 594, §5 (NEW).]
[PL 2003, c. 594, §§4, 5 (AMD).]
(2).
A person to whom the warranties under subsection (1) are made and who took the instrument in good faith may recover from the warrantor as damages for breach of warranty an amount equal to the loss suffered as a result of the breach, but not more than the amount of the instrument plus expenses and loss of interest incurred as a result of the breach.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
The warranties stated in subsection (1) may not be disclaimed with respect to checks. Unless notice of a claim for breach of warranty is given to the warrantor within 30 days after the claimant has reason to know of the breach and the identity of the warrantor, the liability of the warrantor under subsection (2) is discharged to the extent of any loss caused by the delay in giving notice of the claim.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
A cause of action for breach of warranty under this section accrues when the claimant has reason to know of the breach.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(5).
If the warranty in subsection (1), paragraph (f) is not given by a transferor under applicable conflict of laws rules, then the warranty is not given to that transferor when that transferor is a transferee.
[PL 2003, c. 594, §6 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW). PL 2003, c. 594, §§4-6 (AMD).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1418. Payment or acceptance by mistake

§3-1418. Payment or acceptance by mistake
(1).
Except as provided in subsection (3), the drawee may recover the amount of the draft from the person to whom or for whose benefit payment was made or, in the case of acceptance, may revoke the acceptance if the drawee of a draft pays or accepts the draft and the drawee acted on the mistaken belief that payment of the draft had not been stopped pursuant to section 4‑403 or the signature of the drawer of the draft was authorized.
Rights of the drawee under this subsection are not affected by failure of the drawee to exercise ordinary care in paying or accepting the draft.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
Except as provided in subsection (3), if an instrument has been paid or accepted by mistake and the case is not covered by subsection (1), the person paying or accepting may, to the extent permitted by the law governing mistake and restitution:
(a). Recover the payment from the person to whom or for whose benefit payment was made; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). In the case of acceptance, revoke the acceptance.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
The remedies provided by subsection (1) or (2) may not be asserted against a person who took the instrument in good faith and for value or who in good faith changed position in reliance on the payment or acceptance. This subsection does not limit remedies provided by section 3‑1417 or 4‑407.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
Notwithstanding section 4‑213, if an instrument is paid or accepted by mistake and the payor or acceptor recovers payment or revokes acceptance under subsection (1) or (2), the instrument is deemed not to have been paid or accepted and is treated as dishonored, and the person from whom payment is recovered has rights as a person entitled to enforce the dishonored instrument.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1419. Instruments signed for accommodation

§3-1419. Instruments signed for accommodation
(1).
If an instrument is issued for value given for the benefit of a party to the instrument, in this section referred to as the "accommodated party," and another party to the instrument, in this section referred to as the "accommodation party," signs the instrument for the purpose of incurring liability on the instrument without being a direct beneficiary of the value given for the instrument, the instrument is signed by the accommodation party for accommodation.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
An accommodation party may sign the instrument as maker, drawer, acceptor or indorser and, subject to subsection (4), is obliged to pay the instrument in the capacity in which the accommodation party signs. The obligation of an accommodation party may be enforced notwithstanding any statute of frauds and whether or not the accommodation party receives consideration for the accommodation.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
A person signing an instrument is presumed to be an accommodation party and there is notice that the instrument is signed for accommodation if the signature is an anomalous indorsement or is accompanied by words indicating that the signer is acting as surety or guarantor with respect to the obligation of another party to the instrument. Except as provided in section 3-1605, the obligation of an accommodation party to pay the instrument is not affected by the fact that the person enforcing the obligation had notice when the instrument was taken by that person that the accommodation party signed the instrument for accommodation.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(4).
If the signature of a party to an instrument is accompanied by words indicating unambiguously that the party is guaranteeing collection rather than payment of the obligation of another party to the instrument, the signer is obliged to pay the amount due on the instrument to a person entitled to enforce the instrument only if:
(a). Execution of judgment against the other party has been returned unsatisfied;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). The other party is insolvent or in an insolvency proceeding;   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). The other party can not be served with process; or   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(d). It is otherwise apparent that payment can not be obtained from the other party.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(5).
An accommodation party who pays the instrument is entitled to reimbursement from the accommodated party and is entitled to enforce the instrument against the accommodated party. An accommodated party who pays the instrument has no right of recourse against, and is not entitled to contribution from, an accommodation party.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 4: LIABILITY OF PARTIES › 11 §3-1420. Conversion of instrument

§3-1420. Conversion of instrument
(1).
The law applicable to conversion of personal property applies to instruments. An instrument is also converted if it is taken by transfer, other than a negotiation, from a person not entitled to enforce the instrument or a bank makes or obtains payment with respect to the instrument for a person not entitled to enforce the instrument or receive payment. An action for conversion of an instrument may not be brought by the issuer or acceptor of the instrument or a payee or indorsee who did not receive delivery of the instrument either directly or through delivery to an agent or a copayee.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
In an action under subsection (1), the measure of liability is presumed to be the amount payable on the instrument, but recovery may not exceed the amount of the plaintiff's interest in the instrument.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(3).
A representative, other than a depositary bank, who has in good faith dealt with an instrument or its proceeds on behalf of one who was not the person entitled to enforce the instrument is not liable in conversion to that person beyond the amount of any proceeds that it has not paid out.
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).
2023 Maine Revised Statutes › TITLE 11: UNIFORM COMMERCIAL CODE › Article 3-A: NEGOTIABLE INSTRUMENTS › Part 5: DISHONOR › 11 §3-1501. Presentment

§3-1501. Presentment
(1).
"Presentment" means a demand made by or on behalf of a person entitled to enforce an instrument:
(a). 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   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). To accept a draft made to the drawee.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
(2).
The following rules are subject to Article 4, agreement of the parties and clearinghouse rules and the like:
(a). 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 of 2 or more makers, acceptors, drawees or other payors.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(b). Upon demand of the person to whom presentment is made, the person making presentment must:
(i) Exhibit the instrument;
(ii) Give reasonable identification and, if presentment is made on behalf of another person, reasonable evidence of authority to do so; and
(iii) Sign a receipt on the instrument for any payment made or surrender the instrument if full payment is made.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(c). Without dishonoring the instrument, the party to whom presentment is made may:
(i) Return the instrument for lack of a necessary indorsement; or
(ii) 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.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
(d). 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.   [PL 1993, c. 293, Pt. A, §2 (NEW).]
[PL 1993, c. 293, Pt. A, §2 (NEW).]
SECTION HISTORY
PL 1993, c. 293, §A2 (NEW).