§ 1204. — 1204. (Amended by Stats. 2023, Ch. 210, Sec. 2.)

Except as otherwise provided in Divisions 3, 4, 5, 6, and 12, a person gives value for rights if the person acquires them:
(1)
in return for a binding commitment to extend credit or for the extension of immediately available credit, whether or not drawn upon and whether or not a chargeback is provided for in the event of difficulties in collection;
(2)
as security for, or in total or partial satisfaction of, a preexisting claim;
(3)
by accepting delivery under a preexisting contract for purchase; or
(4)
in return for any consideration sufficient to support a simple contract.

Legislative History

Amended by Stats. 2023, Ch. 210, Sec. 2. (SB 95) Effective January 1, 2024.