New York Statutes

§ 3-409 — Draft Not an Assignment

New York·Law UCC Uniform Commercial Code·Part 4 Liability of Parties·Art. 3 Commercial Paper
Section 3--409. Draft Not an Assignment.\n (1) A check or other draft does not of itself operate as an assignment\nof any funds in the hands of the drawee available for its payment, and\nthe drawee is not liable on the instrument until he accepts it.\n (2) Nothing in this section shall affect any liability in contract,\ntort or otherwise arising from any letter of credit or other obligation\nor representation which is not an acceptance.\n

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71 A.D.2d 757 (Appellate Division of the Supreme Court of New York, 1979)
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