Okla. Stat. tit. 12A § 3-413

Current through Laws 2024, c. 378.

Section 3-413 - Obligation of Acceptor

(a) The acceptor of a draft is obliged to pay the draft (i) according to its terms at the time it was accepted, even though the acceptance states that the draft is payable "as originally drawn" or equivalent terms, (ii) if the acceptance varies the terms of the draft, according to the terms of the draft as varied, or (iii) if the acceptance is of a draft that is an incomplete instrument, according to its terms when completed, to the extent stated in Sections 3-115 and 3-407 of this title. The obligation is owed to a person entitled to enforce the draft or to the drawer or an indorser who paid the draft under Section 3-414 or 3-415 of this title.

(b) If the certification of a check or other acceptance of a draft states the amount certified or accepted, the obligation of the acceptor is that amount. If (i) the certification or acceptance does not state an amount, (ii) the amount of the instrument is subsequently raised, and (iii) the instrument is then negotiated to a holder in due course, the obligation of the acceptor is the amount of the instrument at the time it was taken by the holder in due course.

Okla. Stat. tit. 12A, § 3-413

Laws 1961, p. 112, § 3-413; Amended by Laws 1991, SB 25, c. 117, § 76, eff. 1/1/1992.

Oklahoma Code Comment

1. Section 3-413 governs the liability of any party who accepts a drain, regardless of that party's prior status regarding the instrument. For example a drawee who accepts a drain is liable as an acceptor under sub section 3-413(a), not as a drawee. See also UCC §§ 3-408, 3 409(d). Certification is acceptance, and the party certifying a check becomes liable under Sections 3-411 and 3-413 . This liability is equivalent to that of the maker of a note under Section 3-412 . See Cashion Gin Co. v. Reisch, 144 Okla. 169, 289 P. 701 (1929).

One common method of acceptance is to write the acceptor's signature vertically across the face of the drain. However, the party making acceptance (typically the drawee) normally will have no other reason to sign the drain, and therefore a signature anyplace on the instrument may suffice as acceptance,

2. After certification, the drawer cannot stop payment; certification by a bank ends the time for stopping payment under sub section 4-303(a)(1) . Thus, once certification occurs, the drawer's obligation is discharged under sub sections 3-310(a) and 3-414(c) .

3. As to acceptance of an altered draft, sub section 3-413(b) also may impose liability on an acceptor whose acceptance does not state the amount of the draft - e.g., where a bank accepts a drain by merely stamping "certified" on the face of the instrument - if the amount of the drain is altered subsequent to the acceptance. The acceptor will be liable to a holder in due course for the altered amount, even though liability on the instrument is otherwise limited or is discharged under Section 3-407 . If, however, the acceptance states the amount, as where a bank issues a certified check using a "check protector" that imprints the check amount, the acceptor's liability will be limited to that amount regardless of subsequent alteration.

4. Dishonor of an accepted draft is governed by sub section 3-502(c) .

5. See generally F. Miller & A Harrell, THE LAW OF MODERN PAYMENT SYSTEMS AND NOTES ¶ 4.04 (2d ed. 1992).