Pennsylvania § 1204 Value

Pennsylvania Statutes

§ 1204 — Value

Pennsylvania·Title 13 COMMERCIAL CODE·Ch. 12 GENERAL DEFINITIONS AND PRINCIPLES

Except as otherwise provided in Divisions 3 (relating to negotiable instruments), 4 (relating to bank deposits and collections), 5 (relating to letters of credit) and 12 (relating to controllable electronic records), 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 charge-back 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.

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Except as otherwise provided in Divisions 3 (relating to negotiable instruments), 4 (relating to bank deposits and collections), 5 (relating to letters of credit) and 12 (relating to controllable electronic records), 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 charge-back 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.

Pennsylvania § 1204 (Value) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Legislative History

(July 1, 2024, P.L.450, No.41, eff. 60 days) 2024 Amendment.Act 41 amended the intro. par.See section 1 of Act 41 in the appendix to this title for special provisions relating to findings and declarations.