§ 26-1-3.1-108 — Payable on demand or at definite time

Indiana § 26-1-3.1-108

• Jurisdiction: Indiana
• Title 26: COMMERCIAL LAW
• Art. 1: UNIFORM COMMERCIAL CODE
• Ch. 3.1: Negotiable Instruments

Text

(a) A promise or order is "payable on
demand" if it:
(1) states that it is payable on demand or at sight, or otherwise
indicates that it is payable at the will of the holder; or
(2) does not state any time of payment.
(b) A promise or order is "payable at a definite time" if it is payable
on elapse of a definite period of time after sight or acceptance or at a
fixed date or dates or at a time or times readily ascertainable at the time
the promise or order is issued, subject to rights of:
(1) prepayment;
(2) acceleration;
(3) extension at the option of the holder; or
(4) extension to a further definite time at the option of the maker
or acceptor or automatically upon or after a specified act or event.
(c) If an instrument, payable at a fixed date, is also payable upon
demand made before the fixed date, the instrument is payable on
demand until the fixed date and, if demand for payment is not made
before that date, becomes payable at a definite time on the fixed date.

Legislative History

As added by P.L.222-1993, SEC.5.