104.3601 - Discharge and effect of discharge.

104.3601  Discharge and effect of discharge.

      1.  The obligation of a party to pay the instrument is discharged as stated in this article or by an act or agreement with the party which would discharge an obligation to pay money under a simple contract.

      2.  Discharge of the obligation of a party is not effective against a person acquiring rights of a holder in due course of the instrument without notice of the discharge.

      (Added to NRS by 1965, 836; A 1993, 1295)