New York § 3-305 Rights of a Holder in Due Course

New York Statutes

§ 3-305 — Rights of a Holder in Due Course

New York § 3-305

Law UCCUniform Commercial Code

Part 3Rights of a Holder

Art. 3Commercial Paper

This text of New York § 3-305 (Rights of a Holder in Due Course) is published on Counsel Stack Legal Research, covering New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.Y. Uniform Commercial Code § 3-305 (2026).

Text

Section 3--305. Rights of a Holder in Due Course.\n  To the extent that a holder is a holder in due course he takes the\ninstrument free from\n  (1) all claims to it on the part of any person; and\n  (2) all defenses of any party to the instrument with whom the holder\nhas not dealt except\n       (a) infancy, to the extent that it is a defense to a simple\n           contract; and\n       (b) such other incapacity, or duress, or illegality of the\n           transaction, as renders the obligation of the party a\n           nullity; and\n       (c) such misrepresentation as has induced the party to sign the\n           instrument with neither knowledge nor reasonable opportunity\n           to obtain knowledge of its character or its essential terms;\n           and\n       (d) discharge i

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Section 3--305. Rights of a Holder in Due Course.\n To the extent that a holder is a holder in due course he takes the\ninstrument free from\n (1) all claims to it on the part of any person; and\n (2) all defenses of any party to the instrument with whom the holder\nhas not dealt except\n (a) infancy, to the extent that it is a defense to a simple\n contract; and\n (b) such other incapacity, or duress, or illegality of the\n transaction, as renders the obligation of the party a\n nullity; and\n (c) such misrepresentation as has induced the party to sign the\n instrument with neither knowledge nor reasonable opportunity\n to obtain knowledge of its character or its essential terms;\n and\n (d) discharge in insolvency proceedings; and\n (e) any other discharge of which the holder has notice when he\n takes the instrument.\n