GENERAL LAWS OF MASSACHUSETTS


ARTICLE 1. GENERAL PROVISIONS.


PART 1. SHORT TITLE, CONSTRUCTION, APPLICATION AND SUBJECT MATTER.

Chapter 106, Section 1--101. Short Title.

Chapter 106, Section 1--102. Purposes; Rules of Construction; Variation by Agreement.

Chapter 106, Section 1--103. Supplementary General Principles of Law Applicable.

Chapter 106, Section 1--104. Construction Against Implicit Repeal.

Chapter 106, Section 1--105. Territorial Application of Chapter; Parties' Power To Choose Applicable Law.

Chapter 106, Section 1--106. Remedies To Be Liberally Administered.

Chapter 106, Section 1--107. Waiver or Renunciation of Claim or Right After Breach.

Chapter 106, Section 1--108. Severability.

PART 2. GENERAL DEFINITIONS AND PRINCIPLES OF INTERPRETATION.

Chapter 106, Section 1--201. General Definitions.

Chapter 106, Section 1--202. Prima Facie Evidence by Third Party Documents.

Chapter 106, Section 1--203. Obligation of Good Faith.

Chapter 106, Section 1--204. Time; Reasonable Time; "Seasonably".

Chapter 106, Section 1--205. Course of Dealing and Usage of Trade.

Chapter 106, Section 1--206. Statute of Frauds for Kinds of Personal Property Not Otherwise Covered.

Chapter 106, Section 1--207. Performance or Acceptance Under Reservation of Rights.

Chapter 106, Section 1--208. Option to Accelerate at Will.

Chapter 106, Section 1--209. Subordinated Obligations.

ARTICLE 2. SALES.


PART 1. SHORT TITLE, GENERAL CONSTRUCTION AND SUBJECT MATTER.

Chapter 106, Section 2--101. Short Title.

Chapter 106, Section 2--102. Scope; Certain Security and Other Transactions Excluded from this Article.

Chapter 106, Section 2--103. Definitions and Index of Definitions.

Chapter 106, Section 2--104. Definitions: "Merchant"; "Between Merchants"; "Financing Agency".

Chapter 106, Section 2--105. Definitions; Transferability; "Goods"; "Future" Goods; "Lot"; "Commercial Unit".

Chapter 106, Section 2--106. Definitions: "Contract"; "Agreement"; "Contract for Sale"; "Sale"; "Present Sale"; "Conforming" to Contract; "Termination"; "Cancellation".

Chapter 106, Section 2--107. Goods to be Severed From Realty; Recording.

PART 2. FORM, FORMATION AND READJUSTMENT OF CONTRACT.

Chapter 106, Section 2--201. Formal Requirements: Statute of Frauds.

Chapter 106, Section 2--202. Final Written Expression: Parol or Extrinsic Evidence.

Chapter 106, Section 2--203. Seals Inoperative.

Chapter 106, Section 2--204. Formation in General.

Chapter 106, Section 2--205. Firm Offers.

Chapter 106, Section 2--206. Offer and Acceptance in Formation of Contract.

Chapter 106, Section 2--207. Additional Terms in Acceptance or Confirmation.

Chapter 106, Section 2--208. Course of Performance or Practical Construction.

Chapter 106, Section 2--209. Modification, Rescission and Waiver.

Chapter 106, Section 2--210. Delegation of Performance; Assignment of Rights.

PART 3. GENERAL OBLIGATION AND CONSTRUCTION OF CONTRACT.

Chapter 106, Section 2--301. General Obligations of Parties.

Chapter 106, Section 2--302. Unconscionable Contract or Clause.

Chapter 106, Section 2--303. Allocation or Division of Risks.

Chapter 106, Section 2--304. Price Payable in Money, Goods, Realty, or Otherwise.

Chapter 106, Section 2--305. Open Price Term.

Chapter 106, Section 2--306. Output, Requirements and Exclusive Dealings.

Chapter 106, Section 2--307. Delivery in Single Lot or Several Lots.

Chapter 106, Section 2--308. Absence of Specified Place for Delivery.

Chapter 106, Section 2--309. Absence of Specific Time Provisions; Notice of Termination.

Chapter 106, Section 2--310. Open Time for Payment or Running of Credit; Authority to Ship under Reservation.

Chapter 106, Section 2--311. Options and Co-operation Respecting Performance.

Chapter 106, Section 2--312. Warranty of Title and Against Infringement; Buyer's Obligation Against Infringement.

Chapter 106, Section 2--313. Express Warranties by Affirmation, Promise, Description, Sample.

Chapter 106, Section 2--314. Implied Warranty: Merchantability; Usage of Trade.

Chapter 106, Section 2--315. Implied Warranty: Fitness for Particular Purpose.

Chapter 106, Section 2--316. Exclusion or Modification of Warranties.

Chapter 106, Section 2--316A. Limitation on Exclusion or Modification of Warranties.

Chapter 106, Section 2--317. Cumulation and Conflict of Warranties Express or Implied.

Chapter 106, Section 2--318. Lack of Privity in Actions Against a Manufacturer, Seller, Lessor or Supplier of Goods.

Chapter 106, Section 2--319. F.O.B. and F.A.S. Terms.

Chapter 106, Section 2--320. C.I.F. and C. & F. Terms.

Chapter 106, Section 2--321. C.I.F. or C. & F.: "Net Landed Weights"; "Payment on Arrival"; Warranty of Condition on Arrival.

Chapter 106, Section 2--322. Delivery "Ex-Ship".

Chapter 106, Section 2--323. Form of Bill of Lading required in Overseas Shipment; "Overseas".

Chapter 106, Section 2--324. "No Arrival, No Sale" Term.

Chapter 106, Section 2--325. "Letter of Credit" Term; "Confirmed Credit".

Chapter 106, Section 2--326. Sale on Approval and Sale or Return; Consignment Sales and Rights of Creditors.

Chapter 106, Section 2--327. Special Incidents of Sale on Approval and Sale or Return.

Chapter 106, Section 2--328. Sale by Auction.

PART 4. TITLE, CREDITORS AND GOOD FAITH PURCHASERS.

Chapter 106, Section 2--401. Passing of Title; Reservation for Security; Limited Application of this Section.

Chapter 106, Section 2--402. Rights of Seller's Creditors against Sold Goods.

Chapter 106, Section 2--403. Power to Transfer; Good Faith Purchase of Goods; "Entrusting".

PART 5. PERFORMANCE.

Chapter 106, Section 2--501. Insurable Interest in Goods; Manner of Identification of Goods.

Chapter 106, Section 2--502. Buyer's Rights to Goods on Seller's Insolvency.

Chapter 106, Section 2--503. Manner of Seller's Tender of Delivery.

Chapter 106, Section 2--504. Shipment by Seller.

Chapter 106, Section 2--505. Seller's Shipment under Reservation.

Chapter 106, Section 2--506. Rights of Financing Agency.

Chapter 106, Section 2--507. Effect of Seller's Tender; Delivery on Condition.

Chapter 106, Section 2--508. Cure by Seller of Improper Tender or Delivery; Replacement.

Chapter 106, Section 2--509. Risk of Loss in the Absence of Breach.

Chapter 106, Section 2--510. Effect of Breach on Risk of Loss.

Chapter 106, Section 2--511. Tender of Payment by Buyer; Payment by Check.

Chapter 106, Section 2--512. Payment by Buyer before Inspection.

Chapter 106, Section 2--513. Buyer's Right to Inspection of Goods.

Chapter 106, Section 2--514. When Documents Deliverable on Acceptance; When on Payment.

Chapter 106, Section 2--515. Preserving Evidence of Goods in Dispute.

PART 6. BREACH, REPUDIATION AND EXCUSE.

Chapter 106, Section 2--601. Buyer's Rights on Improper Delivery.

Chapter 106, Section 2--602. Manner and Effect of Rightful Rejection.

Chapter 106, Section 2--603. Merchant Buyer's Duties as to Rightfully Rejected Goods.

Chapter 106, Section 2--604. Buyer's Options as to Salvage of Rightfully Rejected Goods.

Chapter 106, Section 2--605. Waiver of Buyer's Objections by Failure to Particularize.

Chapter 106, Section 2--606. What Constitutes Acceptance of Goods.

Chapter 106, Section 2--607. Effect of Acceptance; Notice of Breach; Burden of Establishing Breach after Acceptance; Notice of Claim or Litigation to Person Answerable Over.

Chapter 106, Section 2--608. Revocation of Acceptance in Whole or in Part.

Chapter 106, Section 2--609. Right to Adequate Assurance of Performance.

Chapter 106, Section 2--610. Anticipatory Repudiation.

Chapter 106, Section 2--611. Retraction of Anticipatory Repudiation.

Chapter 106, Section 2--612. "Installment Contract"; Breach.

Chapter 106, Section 2--613. Casualty to Identified Goods.

Chapter 106, Section 2--614. Substituted Performance.

Chapter 106, Section 2--615. Excuse by Failure of Presupposed Conditions.

Chapter 106, Section 2--616. Procedure on Notice Claiming Excuse.

PART 7. REMEDIES.

Chapter 106, Section 2--701. Remedies for Breach of Collateral Contracts Not Impaired.

Chapter 106, Section 2--702. Seller's Remedies on Discovery of Buyer's Insolvency.

Chapter 106, Section 2--703. Seller's Remedies in General.

Chapter 106, Section 2--704. Seller's Right to Identify Goods to the Contract Notwithstanding Breach or to Salvage Unfinished Goods.

Chapter 106, Section 2--705. Seller's Stoppage of Delivery in Transit or Otherwise.

Chapter 106, Section 2--706. Seller's Resale Including Contract for Resale.

Chapter 106, Section 2--707. "Person in the Position of a Seller".

Chapter 106, Section 2--708. Seller's Damages for Non-acceptance or Repudiation.

Chapter 106, Section 2--709. Action for the Price.

Chapter 106, Section 2--710. Seller's Incidental Damages.

Chapter 106, Section 2--711. Buyer's Remedies in General; Buyer's Security Interest in Rejected Goods.

Chapter 106, Section 2--712. "Cover"; Buyer's Procurement of Substitute Goods.

Chapter 106, Section 2--713. Buyer's Damages for Non-Delivery or Repudiation.

Chapter 106, Section 2--714. Buyer's Damages for Breach in Regard to Accepted Goods.

Chapter 106, Section 2--715. Buyer's Incidental and Consequential Damages.

Chapter 106, Section 2--716. Buyer's Right to Specific Performance or Replevin.

Chapter 106, Section 2--717. Deduction of Damages from Price.

Chapter 106, Section 2--718. Liquidation or Limitation of Damages; Deposits.

Chapter 106, Section 2--719. Contractual Modification or Limitation of Remedy.

Chapter 106, Section 2--720. Effect of "Cancellation" or "Rescission" on Claims for Antecedent Breach.

Chapter 106, Section 2--721. Remedies for Fraud.

Chapter 106, Section 2--722. Who Can Sue Third Parties for Injury to Goods.

Chapter 106, Section 2--723. Proof of Market Price: Time and Place.

Chapter 106, Section 2--724. Admissibility of Market Quotations.

Chapter 106, Section 2--725. Statute of Limitations in Contracts for Sale.

ARTICLE 2A. LEASES.

PART 1. GENERAL PROVISIONS.

Chapter 106, Section 2A--101. Short Title.

Chapter 106, Section 2A--102. Scope.

Chapter 106, Section 2A--103. Definitions and Index of Definitions.

Chapter 106, Section 2A--104. Leases Subject to Other Law.

Chapter 106, Section 2A--105. Territorial Application of Article to Goods Covered by Certificate of Title.

Chapter 106, Section 2A--106. Limitation on Power of Parties to Consumer Lease to Choose Applicable Law and Judicial Forum.

Chapter 106, Section 2A--107. Waiver or Renunciation of Claim or Right After Default.

Chapter 106, Section 2A--108. Unconscionability.

Chapter 106, Section 2A--109. Option to Accelerate at Will.

PART 2. FORMATION AND CONSTRUCTION OF LEASE CONTRACT.

Chapter 106, Section 2A--201. Statute of Frauds.

Chapter 106, Section 2A--202. Final Written Expression: Parol or Extrinsic Evidence.

Chapter 106, Section 2A--203. Seals Inoperative.

Chapter 106, Section 2A--204. Formation in General.

Chapter 106, Section 2A--205. Firm Offers.

Chapter 106, Section 2A--206. Offer and Acceptance in Formation of Lease Contract.

Chapter 106, Section 2A--207. Course of Performance or Practical Construction.

Chapter 106, Section 2A--208. Modification, Rescission and Waiver.

Chapter 106, Section 2A--209. Lessee Under Finance Lease as Beneficiary of Supply Contract.

Chapter 106, Section 2A--210. Express Warranties.

Chapter 106, Section 2A--211. Warranties Against Interference and Against Infringement; Lessee's Obligation Against Infringement.

Chapter 106, Section 2A--212. Implied Warranty of Merchantability.

Chapter 106, Section 2A--213. Implied Warranty of Fitness for Particular Purpose.

Chapter 106, Section 2A--214. Exclusion or Modification of Warranties.

Chapter 106, Section 2A--214A. Limitation on Exclusion or Modification of Warranties.

Chapter 106, Section 2A--215. Cumulation and Conflict of Warranties Express or Implied.

Chapter 106, Section 2A--216. Lack of Privity in Actions Against a Manufacturer, Supplier or Lessor of Goods.

Chapter 106, Section 2A--217. Identification.

Chapter 106, Section 2A--218. Insurance and Proceeds.

Chapter 106, Section 2A--219. Risk of Loss.

Chapter 106, Section 2A--220. Effect of Default on Risk of Loss.

Chapter 106, Section 2A--221. Casualty to Identified Goods.

PART 3. EFFECT OF LEASE CONTRACT.

Chapter 106, Section 2A--301. Enforceability of Lease Contract.

Chapter 106, Section 2A--302. Title To and Possession of Goods.

Chapter 106, Section 2A--303. Alienability of Party's Interest Under Lease Contract or of Lessor's Residual Interest in Goods; Delegation of Performance; Transfer of Rights.

Chapter 106, Section 2A--304. Subsequent Lease of Goods by Lessor.

Chapter 106, Section 2A--305. Sale or Sublease of Goods by Lessee.

Chapter 106, Section 2A--306. Priority of Certain Liens Arising by Operation of Law.

Chapter 106, Section 2A--307. Priority of Liens Arising by Attachment or Levy On, Security Interests In, and Other Claims to Goods.

Chapter 106, Section 2A--308. Special Rights of Creditors.

Chapter 106, Section 2A--309. Lessor's and Lessee's Rights When Goods Become Fixtures.

Chapter 106, Section 2A--310. Lessor's and Lessee's Rights When Goods Become Accessions.

Chapter 106, Section 2A--311. Priority Subject to Subordination.

PART 4. PERFORMANCE OF LEASE CONTRACT: REPUDIATED, SUBSTITUTED AND EXCUSED.

Chapter 106, Section 2A--401. Insecurity: Adequate Assurance of Performance.

Chapter 106, Section 2A--402. Anticipatory Repudiation.

Chapter 106, Section 2A--403. Retraction of Anticipatory Repudiation.

Chapter 106, Section 2A--404. Substituted Performance.

Chapter 106, Section 2A--405. Excused Performance.

Chapter 106, Section 2A--406. Procedure on Excused Performance.

Chapter 106, Section 2A--407. Irrevocable Promises; Finance Leases.

PART 5. DEFAULT.

A. IN GENERAL.

Chapter 106, Section 2A--501. Default; Procedure.

Chapter 106, Section 2A--502. Notice After Default.

Chapter 106, Section 2A--503. Modification of Impairment of Rights and Remedies.

Chapter 106, Section 2A--504. Liquidation of Damages.

Chapter 106, Section 2A--505. Cancellation and Termination and Effect of Cancellation, Termination, Rescission, or Fraud on Rights and Remedies.

Chapter 106, Section 2A--506. Statute of Limitations.

Chapter 106, Section 2A--507. Proof of Market Rent; Time and Place.

B. DEFAULT BY LESSOR.

Chapter 106, Section 2A--508. Lessee's Remedies.

Chapter 106, Section 2A--509. Lessee's Rights on Improper Delivery; Rightful Rejection.

Chapter 106, Section 2A--510. Installment Lease Contracts: Rejection and Default.

Chapter 106, Section 2A--511. Merchant Lessee's Duties as to Rightfully Rejected Goods.

Chapter 106, Section 2A--512. Lessee's Duties as to Rightfully Rejected Goods.

Chapter 106, Section 2A--513. Cure by Lessor of Improper Tender or Delivery; Replacement.

Chapter 106, Section 2A--514. Waiver of Lessee's Objections.

Chapter 106, Section 2A--515. Acceptance of Goods.

Chapter 106, Section 2A--516. Effect of Acceptance of Goods; Notice of Default; Burden of Establishing Default After Acceptance; Notice of Claim or Litigation to Person Answerable Over.

Chapter 106, Section 2A--517. Revocation of Acceptance of Goods.

Chapter 106, Section 2A--518. Cover; Substitute Goods.

Chapter 106, Section 2A--519. Lessee's Damages for Non-delivery, Repudiation, Default, and Breach of Warranty in Regard to Accepted Goods.

Chapter 106, Section 2A--520. Lessee's Incidental and Consequential Damages.

Chapter 106, Section 2A--521. Lessee's Right to Specific Performance of Replevin.

Chapter 106, Section 2A--522. Lessee's Right to Goods on Lessor's Insolvency.

C. DEFAULT BY LESSEE.

Chapter 106, Section 2A--523. Lessor's Remedies.

Chapter 106, Section 2A--524. Lessor's Right to Identify Goods to Lease Contract.

Chapter 106, Section 2A--525. Lessor's Right to Possession of Goods.

Chapter 106, Section 2A--526. Lessor's Stoppage of Delivery in Transit or Otherwise.

Chapter 106, Section 2A--527. Lessor's Rights to Dispose of Goods.

Chapter 106, Section 2A--528. Lessor's Damages for Nonacceptance, Failure to Pay, Repudiation, or Other Default.

Chapter 106, Section 2A--529. Lessor's Action for the Rent.

Chapter 106, Section 2A--530. Lessor's Incidental Damages.

Chapter 106, Section 2A--531. Standing to Sue Third Parties for Injury to Goods.

Chapter 106, Section 2A--532. Lessor's Rights to Residual Interest.

ARTICLE 3. NEGOTIABLE INSTRUMENTS.

PART 1. GENERAL PROVISIONS AND DEFINITIONS.

Chapter 106, Section 3--101. Short Title.

Chapter 106, Section 3--102. Subject Matter.

Chapter 106, Section 3--103. Definitions.

Chapter 106, Section 3--104. Negotiable Instrument.

Chapter 106, Section 3--105. Issue of Instrument.

Chapter 106, Section 3--106. Unconditional Promise or Order.

Chapter 106, Section 3--107. Instrument Payable in Foreign Money.

Chapter 106, Section 3--108. Payable on Demand or at Definite Time.

Chapter 106, Section 3--109. Payable to Bearer or to Order.

Chapter 106, Section 3--110. Identification of Person to Whom Instrument is Payable.

Chapter 106, Section 3--111. Place of Payment.

Chapter 106, Section 3--112. Interest.

Chapter 106, Section 3--113. Date of Instrument.

Chapter 106, Section 3--114. Contradictory Terms of Instrument.

Chapter 106, Section 3--115. Incomplete Instrument.

Chapter 106, Section 3--116. Joint and Several Liability; Contribution.

Chapter 106, Section 3--117. Other Agreements Affecting Instrument.

Chapter 106, Section 3--118. Statute of Limitations.

Chapter 106, Section 3--119. Notice of Right to Defend Action.

Chapter 106, Section 3--120. Repealed, 1998, 24, Sec. 8.

Chapter 106, Section 3--121. Repealed, 1998, 24, Sec. 8.

Chapter 106, Section 3--122. Repealed, 1998, 24, Sec. 8.

PART 2. NEGOTIATION, TRANSFER, AND INDORSEMENT.

Chapter 106, Section 3--201. Negotiation.

Chapter 106, Section 3--202. Negotiation Subject to Rescission.

Chapter 106, Section 3--203. Transfer of Instrument; Rights Acquired by Transfer.

Chapter 106, Section 3--204. Indorsement.

Chapter 106, Section 3--205. Special Indorsement; Blank Indorsement; Anomalous Indorsement.

Chapter 106, Section 3--206. Restrictive Indorsement.

Chapter 106, Section 3--207. Reacquisition.

Chapter 106, Section 3--208. Repealed, 1998, 24, Sec. 8.

PART 3. ENFORCEMENT OF INSTRUMENTS.

Chapter 106, Section 3--301. Person Entitled to Enforce Instrument.

Chapter 106, Section 3--302. Holder in Due Course.

Chapter 106, Section 3--303. Value and Consideration.

Chapter 106, Section 3--304. Overdue Instrument.

Chapter 106, Section 3--305. Defenses and Claims in Recoupment.

Chapter 106, Section 3--306. Claims to an Instrument.

Chapter 106, Section 3--307. Notice of Breach of Fiduciary Duty.

Chapter 106, Section 3--308. Proof of Signatures and Status as Holder in Due Course.

Chapter 106, Section 3--309. Enforcement of Lost, Destroyed, or Stolen Instrument.

Chapter 106, Section 3--310. Effect of Instrument on Obligation for which Taken.

Chapter 106, Section 3--311. Accord and Satisfaction by Use of Instrument.

Chapter 106, Section 3--312. Lost, Destroyed, or Stolen Cashier's Check, Teller's Check, or Certified Check.

PART 4. LIABILITY OF PARTIES.

Chapter 106, Section 3--401. Signature.

Chapter 106, Section 3--402. Signature by Representative.

Chapter 106, Section 3--403. Unauthorized Signature.

Chapter 106, Section 3--404. Impostors; Fictitious Payees.

Chapter 106, Section 3--405. Employer's Responsibility for Fraudulent Indorsement by Employee.

Chapter 106, Section 3--406. Negligence Contributing to Forged Signature or Alteration of Instrument.

Chapter 106, Section 3--407. Alteration.

Chapter 106, Section 3--408. Drawee not Liable on Unaccepted Draft.

Chapter 106, Section 3--409. Acceptance of Draft; Certified Check.

Chapter 106, Section 3--410. Acceptance Varying Draft.

Chapter 106, Section 3--411. Refusal to Pay Cashier's Checks, Teller's Checks, and Certified Checks.

Chapter 106, Section 3--412. Obligation of Issuer of Note or Cashier's Check.

Chapter 106, Section 3--413. Obligation of Acceptor.

Chapter 106, Section 3--414. Obligation of Drawer.

Chapter 106, Section 3--415. Obligation of Indorser.

Chapter 106, Section 3--416. Transfer Warranties.

Chapter 106, Section 3--417. Presentment Warranties.

Chapter 106, Section 3--418. Payment or Acceptance by Mistake.

Chapter 106, Section 3--419. Instruments Signed for Accommodation.

Chapter 106, Section 3--420. Conversion of Instrument.

PART 5. DISHONOR.

Chapter 106, Section 3--501. Presentment.

Chapter 106, Section 3--502. Dishonor.

Chapter 106, Section 3--503. Notice of Dishonor.

Chapter 106, Section 3--504. Excused Presentment and Notice of Dishonor.

Chapter 106, Section 3--505. Evidence of Dishonor.

Chapter 106, Section 3--506. Repealed, 1998, 24, Sec. 8.

Chapter 106, Section 3--507. Repealed, 1998, 24, Sec. 8.

Chapter 106, Section 3--508. Repealed, 1998, 24, Sec. 8.

Chapter 106, Section 3--509. Repealed, 1998, 24, Sec. 8.

Chapter 106, Section 3--510. Repealed, 1998, 24, Sec. 8.

Chapter 106, Section 3--511. Repealed, 1998, 24, Sec. 8.

PART 6. DISCHARGE AND PAYMENT.

Chapter 106, Section 3--601. Discharge and Effect of Discharge.

Chapter 106, Section 3--602. Payment.

Chapter 106, Section 3--603. Tender of Payment.

Chapter 106, Section 3--604. Discharge by Cancellation or Renunciation.

Chapter 106, Section 3--605. Discharge of Indorsers and Accommodation Parties.

Chapter 106, Section 3--606. Repealed, 1998, 24, Sec. 8.

PART 7. ADVICE OF INTERNATIONAL SIGHT DRAFT.

[Repealed, 1998, 24, Sec. 8.]

Chapter 106, Section 3--701. Repealed, 1998, 24, Sec. 8.

PART 8. MISCELLANEOUS.

[Repealed, 1998, 24, Sec. 8.]

Chapter 106, Section 3--801. [Repealed, 1998, 24, Sec. 8.]

Chapter 106, Section 3--802. [Repealed, 1998, 24, Sec. 8.]

Chapter 106, Section 3--803. [Repealed, 1998, 24, Sec. 8.]

Chapter 106, Section 3--804. [Repealed, 1998, 24, Sec. 8.]

Chapter 106, Section 3--805. [Repealed, 1998, 24, Sec. 8.]

ARTICLE 4. BANK DEPOSITS AND COLLECTIONS.

PART 1. GENERAL PROVISIONS AND DEFINITIONS.

[1998, 24, Sec. 8 strikes out the Article 4, Part 1 heading effective until May 13, 1998.]

Chapter 106, Section 4--101. Short Title.

Chapter 106, Section 4--102. Applicability.

Chapter 106, Section 4--103. Variation by Agreement; Measure of Damages; Action Constituting Ordinary Care.

Chapter 106, Section 4--104. Definitions and Index of Definitions.

Chapter 106, Section 4--105. Bank; Depositary Bank; Payor Bank; Intermediary Bank; Collecting Bank; Presenting Bank.

Chapter 106, Section 4--106. Payable Through or Payable at Bank; Collecting Bank.

Chapter 106, Section 4--107. Separate Office of Bank.

Chapter 106, Section 4--108. Time of Receipt of Items.

Chapter 106, Section 4--109. Delays.

Chapter 106, Section 4--110. Electronic Presentment.

Chapter 106, Section 4--111. Statute of Limitations.

PART 2. COLLECTION OF ITEMS; DEPOSITARY AND COLLECTING BANKS.

[1998, 24, Sec. 8 strikes out the Article 4, Part 2 heading effective until May 13, 1998.]

Chapter 106, Section 4--201. Status of Collecting Bank as Agent and Provisional Status of Credits; Applicability of Article; Item Indorsed Pay any Bank.

Chapter 106, Section 4--202. Responsibility for Collection or Return; when Action Timely.

Chapter 106, Section 4--203. Effect of Instructions.

Chapter 106, Section 4--204. Methods of Sending and Presenting; Sending Directly to Payor Bank.

Chapter 106, Section 4--205. Depositary Bank Holder of Unindorsed Item.

Chapter 106, Section 4--206. Transfer Between Banks.

Chapter 106, Section 4--207. Transfer Warranties.

Chapter 106, Section 4--208. Presentment Warranties.

Chapter 106, Section 4--209. Encoding and Retention Warranties.

Chapter 106, Section 4--210. Security Interest of Collecting Bank in Items, Accompanying Documents and Proceeds.

Chapter 106, Section 4--211. When Bank Gives Value for Purposes of Holder in Due Course.

Chapter 106, Section 4--212. Presentment by Notice of Item not Payable by, through, or at Bank; Liability of Drawer or Indorser.

Chapter 106, Section 4--213. Medium and Time of Settlement by Bank.

Chapter 106, Section 4--214. Right of Charge-Back or Refund; Liability of Collecting Bank; Return of Item.

Chapter 106, Section 4--215. Final Payment of Item by Payor Bank; When Provisional Debits and Credits Become Final; When Certain Credits Become Available for Withdrawal.

Chapter 106, Section 4--216. Insolvency and Preference.

PART 3. COLLECTION OF ITEMS: PAYOR BANKS.

[1998, 24, Sec. 8 strikes out the Article 4, Part 3 heading effective until May 13, 1998.]

Chapter 106, Section 4--301. Deferred Posting; Recovery of Payment by Return of Items; Time of Dishonor; Return of Items by Payor Bank.

Chapter 106, Section 4--302. Payor Bank's Responsibility for Late Return of Item.

Chapter 106, Section 4--303. When Items Subject to Notice, Stop-Payment Order, Legal Process, or Setoff; Order in Which Items may be Charge of Certified.

PART 4. RELATIONSHIP BETWEEN PAYOR BANK AND ITS CUSTOMER.

[1998, 24, Sec. 8 strikes out the Article 4, Part 4 heading effective until May 13, 1998.]

Chapter 106, Section 4--401. When Bank may Charge Customer's Account.

Chapter 106, Section 4--402. Bank's Liability to Customer for Wrongful Dishonor; Time of Determining Insufficiency of Account.

Chapter 106, Section 4--403. Customer's Right to Stop Payment; Burden of Proof of Loss.

Chapter 106, Section 4--404. Bank not Obliged to Pay Check More Than Six Months Old.

Chapter 106, Section 4--405. Death or Incompetence of Customer.

Chapter 106, Section 4--406. Customer's Duty to Discover and Report Unauthorized Signature or Alteration.

Chapter 106, Section 4--407. Payor Bank's Right to Subrogation on Improper Payment.

PART 5. COLLECTION OF DOCUMENTARY DRAFTS.

[1998, 24, Sec. 8 strikes out the Article 4, Part 5 heading effective until May 13, 1998.]

Chapter 106, Section 4--501. Handling of Documentary Drafts; Duty to Send for Presentment and to Notify Customer of Dishonor.

Chapter 106, Section 4--502. Presentment of "On Arrival" Drafts.

Chapter 106, Section 4--503. Responsibility of Presenting Bank for Documents and Goods; Report of Reasons for Dishonor; Referee in Case of Need.

Chapter 106, Section 4--504. Privilege of Presenting Bank to Deal with Goods; Security Interest for Expenses.

ARTICLE 4A. FUNDS TRANSFERS.

PART 1. SUBJECT MATTER AND DEFINITIONS.

Chapter 106, Section 4A--101. Short Title.

Chapter 106, Section 4A--102. Subject Matter.

Chapter 106, Section 4A--103. Payment Order -- Definitions.

Chapter 106, Section 4A--104. Funds Transfer -- Definitions.

Chapter 106, Section 4A--105. Other Definitions.

Chapter 106, Section 4A--106. Time Payment Order Is Received.

Chapter 106, Section 4A--107. Federal Reserve Regulations and Operating Circulars.

Chapter 106, Section 4A--108. Exclusion of Consumer Transactions Governed by Federal Law.

PART 2. ISSUE AND ACCEPTANCE OF PAYMENT ORDER.

Chapter 106, Section 4A--201. Security Procedure.

Chapter 106, Section 4A--202. Authorized and Verified Payment Orders.

Chapter 106, Section 4A--203. Unenforceability of Certain Verified Payment Orders.

Chapter 106, Section 4A--204. Refund of Payment and Duty of Customer to Report with Respect to Unauthorized Payment Order.

Chapter 106, Section 4A--205. Erroneous Payment Orders.

Chapter 106, Section 4A--206. Transmission of Payment Order Through Funds Transfer or Other Communication System.

Chapter 106, Section 4A--207. Misdescription of Beneficiary.

Chapter 106, Section 4A--208. Misdescription of Intermediary Bank or Beneficiary's Bank.

Chapter 106, Section 4A--209. Acceptance of Payment Order.

Chapter 106, Section 4A--210. Rejection of Payment Order.

Chapter 106, Section 4A--211. Cancellation and Amendment of Payment Order.

Chapter 106, Section 4A--212. Liability and Duty of Receiving Bank Regarding Unaccepted Payment Order.

PART 3. EXECUTION OF SENDER'S PAYMENT ORDER BY RECEIVING BANK.

Chapter 106, Section 4A--301. Execution and Execution Date.

Chapter 106, Section 4A--302. Obligations of Receiving Bank in Execution of Payment Order.

Chapter 106, Section 4A--303. Erroneous Execution of Payment Order.

Chapter 106, Section 4A--304. Duty of Sender to Report Erroneously Executed Payment Order.

Chapter 106, Section 4A--305. Liability for Late or Improper Execution or Failure to Execute Payment Order.

PART 4. PAYMENT.

Chapter 106, Section 4A--401. Payment Date.

Chapter 106, Section 4A--402. Obligation of Sender to Pay Receiving Bank.

Chapter 106, Section 4A--403. Payment by Sender to Receiving Bank.

Chapter 106, Section 4A--404. Obligation of Beneficiary's Bank to Pay and Give Notice to Beneficiary.

Chapter 106, Section 4A--405. Payment by Beneficiary's Bank to Beneficiary.

Chapter 106, Section 4A--406. Payment by Originator to Beneficiary; Discharge of Underlying Obligation.

PART 5. MISCELLANEOUS PROVISIONS.

Chapter 106, Section 4A--501. Variation by Agreement and Effect of Funds Transfer System Rule.

Chapter 106, Section 4A--502. Creditor Process Served on Receiving Bank; Setoff by Beneficiary's Bank.

Chapter 106, Section 4A--503. Injunction or Restraining Order with Respect to Funds Transfer.

Chapter 106, Section 4A--504. Order in Which Items and Payment Orders May Be Charged to Account; Order or Withdrawals from Account.

Chapter 106, Section 4A--505. Preclusion of Objection to Debit of Customer's Account.

Chapter 106, Section 4A--506. Rate of Interest.

Chapter 106, Section 4A--507. Choice of Law.

ARTICLE 5. LETTERS OF CREDIT.

[1997, 224, Sec. 3 strikes out Article 5, as amended, and inserts a new Article 5 effective March 19, 1998.]

Chapter 106, Section 5--101. Short Title.

Chapter 106, Section 5--102. Definitions.

Chapter 106, Section 5--103. Scope.

Chapter 106, Section 5--104. Formal Requirements.

Chapter 106, Section 5--105. Consideration.

Chapter 106, Section 5--106. Issuance, Amendment, Cancellation, and Duration.

Chapter 106, Section 5--107. Confirmer, Nominated Person, and Adviser.

Chapter 106, Section 5--108. Issuer's Rights and Obligations.

Chapter 106, Section 5--109. Fraud and Forgery.

Chapter 106, Section 5--110. Warranties.

Chapter 106, Section 5--111. Remedies.

Chapter 106, Section 5--112. Transfer of Letter of Credit.

Chapter 106, Section 5--113. Transfer by Operation of Law.

Chapter 106, Section 5--114. Assignment of Proceeds.

Chapter 106, Section 5--115. Statute of Limitations.

Chapter 106, Section 5--116. Choice of Law and Forum.

Chapter 106, Section 5--117. Subrogation of Issuer, Applicant, and Nominated Person.

ARTICLE 6. BULK TRANSFERS.

[Repealed, 1996, 160, Sec. 3.]

Chapter 106, Section 6--103. Repealed, 1996, 160, Sec. 5.

ARTICLE 7. WAREHOUSE RECEIPTS, BILLS OF LADING AND OTHER DOCUMENTS OF TITLE.

PART 1. GENERAL.

Chapter 106, Section 7--101. Short Title.

Chapter 106, Section 7--102. Definitions and Index of Definitions.

Chapter 106, Section 7--103. Relation of Article to Treaty, Statute, Tariff, Classification or Regulation.

Chapter 106, Section 7--104. Negotiable and Non-Negotiable Warehouse Receipt, Bill of Lading or other Document of Title.

Chapter 106, Section 7--105. Construction against Negative Implication.

PART 2. WAREHOUSE RECEIPTS: SPECIAL PROVISIONS.

Chapter 106, Section 7--201. Who May Issue a Warehouse Receipt; Storage under Government Bond.

Chapter 106, Section 7--202. Form of Warehouse Receipt; Essential Terms; Optional Terms.

Chapter 106, Section 7--203. Liability for Non-Receipt or Misdescription.

Chapter 106, Section 7--204. Duty of Care; Contractual Limitation of Warehouseman's Liability.

Chapter 106, Section 7--205. Title Under Warehouse Receipt Defeated in Certain Cases.

Chapter 106, Section 7--206. Termination of Storage at Warehouseman's Option.

Chapter 106, Section 7--207. Goods Must Be Kept Separate; Fungible Goods.

Chapter 106, Section 7--208. Altered Warehouse Receipts.

Chapter 106, Section 7--209. Lien of Warehouseman.

Chapter 106, Section 7--210. Enforcement of Warehouseman's Lien.

PART 3. BILLS OF LADING: SPECIAL PROVISIONS.

Chapter 106, Section 7--301. Liability for Non-Receipt or Misdescription; "Said to Contain"; "Shippers Load and Count"; Improper Handling.

Chapter 106, Section 7--302. Through Bills of Lading and Similar Documents.

Chapter 106, Section 7--303. Diversion; Reconsignments; Change of Instructions.

Chapter 106, Section 7--304. Bills of Lading in a Set.

Chapter 106, Section 7--305. Destination Bills.

Chapter 106, Section 7--306. Altered Bills of Lading.

Chapter 106, Section 7--307. Lien of Carrier.

Chapter 106, Section 7--308. Enforcement of Carrier's Lien.

Chapter 106, Section 7--309. Duty of Care; Contractual Limitation of Carrier's Liability.

PART 4. WAREHOUSE RECEIPTS AND BILLS OF LADING: GENERAL OBLIGATIONS.

Chapter 106, Section 7--401. Irregularities in Issue of Receipt or Bill or Conduct of Issuer.

Chapter 106, Section 7--402. Duplicate Receipt or Bill; Overissue.

Chapter 106, Section 7--403. Obligation of Warehouseman or Carrier to Deliver; Excuse.

Chapter 106, Section 7--404. No Liability for Good Faith Delivery Pursuant to Receipt or Bill.

PART 5. WAREHOUSE RECEIPTS AND BILLS OF LADING: NEGOTIATION AND TRANSFER.

Chapter 106, Section 7--501. Form of Negotiation and Requirements of "Due Negotiation".

Chapter 106, Section 7--502. Rights Acquired by Due Negotiation.

Chapter 106, Section 7--503. Document of Title to Goods Defeated in Certain Cases.

Chapter 106, Section 7--504. Rights Acquired in the Absence of Due Negotiation; Effect of Diversion; Seller's Stoppage of Delivery.

Chapter 106, Section 7--505. Indorser Not a Guarantor for Other Parties.

Chapter 106, Section 7--506. Delivery Without Indorsement; Right to Compel Indorsement.

Chapter 106, Section 7--507. Warranties on Negotiation or Transfer of Receipt or Bill.

Chapter 106, Section 7--508. Warranties of Collecting Bank as to Documents.

Chapter 106, Section 7--509. Receipt or Bill; When Adequate Compliance With Commercial Contract.

PART 6. WAREHOUSE RECEIPTS AND BILLS OF LADING: MISCELLANEOUS PROVISIONS.

Chapter 106, Section 7--601. Lost and Missing Documents.

Chapter 106, Section 7--602. Attachment of Goods Covered by a Negotiable Document.

Chapter 106, Section 7--603. Conflicting Claims; Interpleader.

ARTICLE 8. INVESTMENT SECURITIES.

PART 1. SHORT TITLE AND GENERAL MATTERS.

Chapter 106, Section 8--101. Short Title.

Chapter 106, Section 8--102. Definitions.

Chapter 106, Section 8--103. Rules for Determining Whether Certain Obligations and Interests are Securities or Financial Assets.

Chapter 106, Section 8--104. Acquisition of Security or Financial Asset or Interest Therein.

Chapter 106, Section 8--105. Notice of Adverse Claim.

Chapter 106, Section 8--106. Control.

Chapter 106, Section 8--107. Whether Indorsement, Instruction, or Entitlement Order is Effective.

Chapter 106, Section 8--108. Warranties in Direct Holding.

Chapter 106, Section 8--109. Warranties in Indirect Holding.

Chapter 106, Section 8--110. Applicability; Choice of Law.

Chapter 106, Section 8--111. Clearing Corporation Rules.

Chapter 106, Section 8--112. Creditor's Legal Process.

Chapter 106, Section 8--113. Statute of Frauds Inapplicable.

Chapter 106, Section 8--114. Evidentiary Rules Concerning Certificated Securities.

Chapter 106, Section 8--115. Securities Intermediary and Others Not Liable to Adverse Claimant.

Chapter 106, Section 8--116. Securities Intermediary as Purchaser for Value.

PART 2. ISSUE AND ISSUER.

Chapter 106, Section 8--201. Issuer.

Chapter 106, Section 8--202. Issuer's Responsibility and Defenses; Notice of Defect or Defense.

Chapter 106, Section 8--203. Staleness as Notice of Defect or Defense.

Chapter 106, Section 8--204. Effect of Issuer's Restriction on Transfer.

Chapter 106, Section 8--205. Effect of Unauthorized Signature on Security Certificate.

Chapter 106, Section 8--206. Completion or Alteration of Security Certificate.

Chapter 106, Section 8--207. Rights and Duties of Issuer With Respect to Registered Owners.

Chapter 106, Section 8--208. Effect of Signature of Authenticating Trustee, Registrar, or Transfer Agent.

Chapter 106, Section 8--209. Issuer's Lien.

Chapter 106, Section 8--210. Overissue.

PART 3. TRANSFER OF CERTIFICATED AND UNCERTIFICATED SECURITIES.

Chapter 106, Section 8--301. Delivery.

Chapter 106, Section 8--302. Rights of Purchaser.

Chapter 106, Section 8--303. Protected Purchaser.

Chapter 106, Section 8--304. Indorsement.

Chapter 106, Section 8--305. Instruction.

Chapter 106, Section 8--306. Effect of Guaranteeing Signature, Indorsement, or Instruction.

Chapter 106, Section 8--307. Purchaser's Right to Requisites for Registration of Transfer.

Chapter 106, Sections 8--308 -- 8--321. Repealed, 1996, 170, Sec. 4.

PART 4. REGISTRATION.

Chapter 106, Section 8--401. Duty of Issuer to Register Transfer.

Chapter 106, Section 8--402. Assurance that Indorsement or Instruction Is Effective.

Chapter 106, Section 8--403. Demand that Issuer Not Register Transfer.

Chapter 106, Section 8--404. Wrongful Registration.

Chapter 106, Section 8--405. Replacement of Lost, Destroyed, or Wrongfully Taken Security Certificate.

Chapter 106, Section 8--406. Objection to Notify Issuer of Lost, Destroyed, or Wrongfully Taken Security Certificate.

Chapter 106, Section 8--407. Authenticating Trustee, Transfer Agent, and Registrar.

Chapter 106, Section 8--408. Repealed, 1996, 170, Sec. 4.

PART 5. SECURITY ENTITLEMENTS.

Chapter 106, Section 8--501. Securities Account; Acquisition of Security Entitlement from Securities Intermediary.

Chapter 106, Section 8--502. Assertion of Adverse Claim Against Entitlement Holder.

Chapter 106, Section 8--503. Property Interest of Entitlement Holder in Financial Asset Held by Securities Intermediary.

Chapter 106, Section 8--504. Duty of Securities Intermediary to Maintain Financial Asset.

Chapter 106, Section 8--505. Duty of Securities Intermediary with Respect to Payments and Distributions.

Chapter 106, Section 8--506. Duty of Securities Intermediary to Exercise Rights as Directed by Entitlement Holder.

Chapter 106, Section 8--507. Duty of Securities Intermediary to Comply with Entitlement Order.

Chapter 106, Section 8--508. Duty of Securities Intermediary to Change Entitlement Holder's Position to Other Form of Security Holding.

Chapter 106, Section 8--509. Specification of Duties of Securities Intermediary by Other Statute or Regulation; Manner of Performance of Duties of Securities Intermediary and Exercise of Rights of Entitlement Holder.

Chapter 106, Section 8--510. Rights of Purchaser of Security Entitlement from Entitlement Holder.

Chapter 106, Section 8--511. Priority Among Security Interests and Entitlement Holders.

ARTICLE 9. SECURED TRANSACTIONS; SALES OF ACCOUNTS AND CHATTEL PAPER.

PART 1. SHORT TITLE, APPLICABILITY AND DEFINITIONS.

Chapter 106, Section 9--101. Short Title.

Chapter 106, Section 9--102. Policy and Subject Matter of Article.

Chapter 106, Section 9--103. Perfection of Security Interests in Multiple State Transactions.

Chapter 106, Section 9--104. Transactions Excluded From Article.

Chapter 106, Section 9--105. Definitions and Index of Definitions.

Chapter 106, Section 9--106. Definitions: "Account"; "General Intangibles".

Chapter 106, Section 9--107. Definitions: "Purchase Money Security Interest".

Chapter 106, Section 9--108. When After-Acquired Collateral Not Security for Antecedent Debt.

SUBPART 2. APPLICABILITY OF ARTICLE

Chapter 106: Section 9-109. Scope.

Chapter 106: Section 9-110. Security Interests Arising Under Article 2 or 2A.

Chapter 106, Section 9-111. Repealed, 1996, 160, Sec. 5.

Chapter 106, Section 9-112-- 9-116. Repealed, 2001, 26, Sec. 39.

PART 2. VALIDITY OF SECURITY AGREEMENT AND RIGHTS OR PARTIES THERETO.

Chapter 106, Section 9--201. General Validity of Security Agreement.

Chapter 106, Section 9--202. Title to Collateral Immaterial.

Chapter 106, Section 9--203. Attachment and Enforceability of Security Interest; Proceeds; Formal Requisites.

Chapter 106, Section 9--204. After-Acquired Property; Future Advances.

Chapter 106, Section 9--205. Use or Disposition of Collateral Without Accounting Permissible.

Chapter 106, Section 9--206. Agreement Not to Assert Defenses Against Assignee; Modification of Sales Warranties Where Security Agreement Exists.

Chapter 106, Section 9--207. Rights and Duties When Collateral is in Secured Party's Possession.

Chapter 106, Section 9--208. Request for Statement of Account or List of Collateral.

PART 3. RIGHTS OF THIRD PARTIES; PERFECTED AND UNPERFECTED SECURITY INTEREST; RULES OF PRIORITY.

Chapter 106, Section 9--301. Persons Who Take Priority Over Unperfected Security Interest; Rights of "Lien Creditor".

Chapter 106, Section 9--302. When Filing Is Required to Perfect Security Interest; Security Interests to Which Filing Provisions of This Article Do Not Apply.

Chapter 106, Section 9--303. When Security Interest Is Perfected; Continuity of Perfection.

Chapter 106, Section 9--304. Perfection of Security Interests in Instruments, Documents, Proceeds of a Written Letter of Credit and Goods Covered by Documents; Perfection by Permissive Filings; Temporary Perfection Without Filing or Transfer of Possession.

Chapter 106, Section 9--305. When Possession by Secured Party Perfects Security Interest Without Filing.

Chapter 106, Section 9--306. "Proceeds"; Secured Party's Rights on Disposition of Collateral.

Chapter 106, Section 9--307. Protection of Buyers of Goods.

Chapter 106, Section 9--308. Purchase of Chattel Paper and Instruments.

Chapter 106, Section 9--309. Protection of Purchasers of Instruments, Documents and Securities.

Chapter 106, Section 9--310. Priority of Certain Liens Arising by Operation of Law.

Chapter 106, Section 9--311. Alienability of Debtor's Rights; Judicial Process.

Chapter 106, Section 9--312. Priorities Among Conflicting Security Interests in the Same Collateral.

Chapter 106, Section 9--313. Priority of Security Interests in Fixtures.

Chapter 106, Section 9--314. Accessions.

Chapter 106, Section 9--315. Priority When Goods are Commingled or Processed.

Chapter 106, Section 9--316. Priority Subject to Subordination.

Chapter 106, Section 9--317. Secured Party Not Obligated on Contract of Debtor.

Chapter 106, Section 9--318. Defenses Against Assignee; Modification of Contract After Notification of Assignment; Term Prohibiting Assignment Ineffective; Identification and Proof of Assignment.

PART 4. FILING.

Chapter 106, Section 9--401. Place of Filing; Erroneous Filing, Removal of Collateral.

Chapter 106, Section 9--402. Formal Requisites of Financing Statement Amendment; Mortgage as Financing Statement.

Chapter 106, Section 9--403. What Constitutes Filing; Duration of Filing; Effect of Lapsed Filing; Duties of Filing Officer.

Chapter 106, Section 9--404. Termination Statement.

Chapter 106, Section 9--405. Assignment of Security Interest; Duties of Filing Officer; Fees.

Chapter 106, Section 9--406. Release of Collateral; Duties of Filing Officer; Fees.

Chapter 106, Section 9--407. Information from Filing Officer.

Chapter 106, Section 9--408. Financing Statements Covering Consigned or Leased Goods.

Chapter 106, Section 9--409. Destruction of Old Records.

Chapter 106, Section 9--410. Special Provisions for Filings as to Fixtures in Registries of Deeds; Duties of Registers of Deeds.

PART 5. DEFAULT.

Chapter 106, Section 9--501. Default; Procedure When Security Agreement Covers Both Real and Personal Property.

Chapter 106, Section 9--502. Collection Rights of Secured Party.

Chapter 106, Section 9--503. Secured Party's Right to Take Possession After Default.

Chapter 106, Section 9--504. Secured Party's Right to Dispose of Collateral After Default; Effect of Disposition.

Chapter 106, Section 9--505. Compulsory Disposition of Collateral; Acceptance of the Collateral as Discharge of Obligation.

Chapter 106, Section 9--506. Debtor's Right to Redeem Collateral.

Chapter 106, Section 9--507. Secured Party's Liability for Failure to Comply With This Part.


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