Arizona § 47-3202 Negotiation subject to rescission

Arizona Statutes

§ 47-3202 — Negotiation subject to rescission

Arizona·Title 47 Arizona Revised Statutes·Ch. 3 NEGOTIABLE INSTRUMENTS·Art. 2 Negotiation, Transfer and Indorsement

A.Negotiation is effective even if obtained:

1.From an infant, a corporation exceeding its powers or a person without capacity;

2.By fraud, duress or mistake; or

3.In breach of duty or as part of an illegal transaction.

B.To the extent permitted by other law, negotiation may be rescinded or may be subject to other remedies, but those remedies may not be asserted against a subsequent holder in due course or a person paying the instrument in good faith and without knowledge of facts that are a basis for rescission or other remedy.

Free access — add to your briefcase to read the full text and ask questions with AI

A. Negotiation is effective even if obtained:

1. From an infant, a corporation exceeding its powers or a person without capacity;

2. By fraud, duress or mistake; or

3. In breach of duty or as part of an illegal transaction.

B. To the extent permitted by other law, negotiation may be rescinded or may be subject to other remedies, but those remedies may not be asserted against a subsequent holder in due course or a person paying the instrument in good faith and without knowledge of facts that are a basis for rescission or other remedy.

Arizona § 47-3202 (Negotiation subject to rescission) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.