§ 26-1-3.1-603 — Tender of payment

Indiana § 26-1-3.1-603

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

Text

(a) If tender of payment of an obligation
to pay an instrument is made to a person entitled to enforce the
instrument, the effect of tender is governed by principles of law
applicable to tender of payment under a simple contract.
(b) If tender of payment of an obligation to pay an instrument is
made to a person entitled to enforce the instrument and the tender is
refused, there is discharge, to the extent of the amount of the tender, of
the obligation of an endorser or accommodation party having a right of
recourse with respect to the obligation to which the tender relates.
(c) If tender of payment of an amount due on an instrument is made
to a person entitled to enforce the instrument, the obligation of the
obligor to pay interest after the due date on the amount tendered is
discharged. If presentment is required with respect to an instrument and
the obligor is able and ready to pay on the due date at every place of
payment stated in the instrument, the obligor is considered to have
made tender of payment on the due date to the person entitled to
enforce the instrument.

Legislative History

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