South Dakota Statutes

§ 57A-3-407 — Alteration.

South Dakota·Title 57A UNIFORM COMMERCIAL CODE·Ch. 57A NEGOTIABLE INSTRUMENTS
(a)"Alteration" means (i) an unauthorized change in an instrument that purports to modify in any respect the obligation of a party, or (ii) an unauthorized addition of words or numbers or other change to an incomplete instrument relating to the obligation of a party.
(b)Except as provided in subsection (c), an alteration fraudulently made discharges a party whose obligation is affected by the alteration unless that party assents or is precluded from asserting the alteration. No other alteration discharges a party, and the instrument may be enforced according to its original terms.
(c)A payor bank or drawee paying a fraudulently altered instrument or a person taking it for value, in good faith and without notice of the alteration, may enforce rights with respect to the instrument (i) acc

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Related

Massey Ferguson Credit Corp. v. Bice
450 N.W.2d 435 (South Dakota Supreme Court, 1990)
15 case citations
Brown County Cooperative Ass'n v. Rasmussen-King Cattle Co.
300 N.W.2d 265 (South Dakota Supreme Court, 1980)
7 case citations

Legislative History

SL 1994, ch 367, § 3-407.

Nearby Sections

15
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