§ 34.1-3-414 — Obligation of drawer

(a) This section does not apply to cashier's checks or
other drafts drawn on the drawer.
(b) If an unaccepted draft is dishonored, the drawer is
obliged to pay the draft (1) according to its terms at the time
it was issued or, if not issued, at the time it first came into
possession of a holder, or (2) if the drawer signed an
incomplete instrument, according to its terms when completed, to
the extent stated in sections 34.1-3-115 and 34.1-3-407. The
obligation is owed to a person entitled to enforce the draft or
to an indorser who paid the draft under section 34.1-3-415.
(c) If a draft is accepted by a bank, the drawer is
discharged, regardless of when or by whom acceptance was
obtained.
(d) If a draft is accepted and the acceptor is not a bank,
the obligation of the drawer to pay the draft if the draft is
dishonored by the acceptor is the same as the obligation of an
indorser under section 34.1-3-415(a) and (c).
(e) If a draft states that it is drawn "without recourse"
or otherwise disclaims liability of the drawer to pay the draft,
the drawer is not liable under subsection (b) to pay the draft
if the draft is not a check. A disclaimer of the liability
stated in subsection (b) is not effective if the draft is a
check.
(f) If (1) a check is not presented for payment or given
to a depositary bank for collection within thirty (30) days
after its date, (2) the drawee suspends payments after
expiration of the thirty (30) day period without paying the
check, and (3) because of the suspension of payments, the drawer
is deprived of funds maintained with the drawee to cover payment
of the check, the drawer to the extent deprived of funds may
discharge its obligation to pay the check by assigning to the
person entitled to enforce the check the rights of the drawer
against the drawee with respect to the funds.