AN ACT TO MODIFY THE PROVISIONS OF THE UNIFORM COMMERCIAL CODE APPLICABLE TO ACCORD AND SATISFACTION BY USE OF INSTRUMENT.
Amends Article 3 of GS Chapter 25 that provides the Negotiable Instruments provisions of Article 3 of the Uniform Commercial Code, to specifically amend GS 25-3-311 concerning accord and satisfaction by use of negotiable instrument.
Current subsection (a) provides three qualifications a person against whom a claim of a property or possessory interest in a negotiable instrument (instrument) is asserted must prove in order for the provisions of GS 25-3-311 (providing for accord and satisfaction by use of an instrument) to apply. Currently, the person against whom a claim is asserted must prove (1) that person in good faith tendered an instrument to the claimant as full satisfaction of the claim, (2) the amount of the claim was unliquidated or subject to a bona fide dispute, and (3) the claimant obtained payment of the instrument. This act adds to the third qualification the alternative to prove that the claimant failed to return the instrument within 90 days of receipt.
Effective July 1, 2017, and applies to instruments tendered on or after that date.
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