Alabama Statutes

§ 7-3-601 — Discharge and Effect of Discharge

Alabama·Title 7 Commercial Code·Art. 3 Negotiable Instruments·Part 6 Discharge and Payment
(a)The obligation of a party to pay the instrument is discharged as stated in this article or by an act or agreement with the party which would discharge an obligation to pay money under a simple contract.
(b)Discharge of the obligation of a party is not effective against a person acquiring rights of a holder in due course of the instrument without notice of the discharge.

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Legislative History

(Acts 1965, No. 549, p. 811; repealed by Acts 1995, No. 95-668, p. 1381, §1; added by Acts 1995, No. 95-668, p. 1381, §1.)

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