ORS Chapter 73
Chapter 73 — NegotiableInstruments
2009 EDITION
NEGOTIABLEINSTRUMENTS
COMMERCIALTRANSACTIONS
GENERALPROVISIONS
73.0101 Shorttitle
73.0102 Applicationof chapter
73.0103 Definitions
73.0104 Negotiableinstrument; other definitions
73.0105 Issueof instrument
73.0106 Unconditionalpromise or order
73.0107 Instrumentpayable in foreign money
73.0108 Payableon demand or at definite time
73.0109 Payableto bearer or to order
73.0110 Identificationof person to whom instrument is payable
73.0111 Placeof payment
73.0112 Interest
73.0113 Dateof instrument
73.0114 Contradictoryterms of instrument
73.0115 Incompleteinstrument
73.0116 Jointand several liability; contribution
73.0117 Otheragreements affecting instrument
73.0118 Statuteof limitations
73.0119 Noticeof right to defend action
NEGOTIATION,TRANSFER AND INDORSEMENT
73.0201 Negotiation
73.0202 Negotiationsubject to rescission
73.0203 Transferof instrument; rights acquired by transfer
73.0204 Indorsement
73.0205 Specialindorsement; blank indorsement; anomalous indorsement
73.0206 Restrictiveindorsement
73.0207 Reacquisition
ENFORCEMENTOF INSTRUMENTS
73.0301 Personentitled to enforce instrument
73.0302 Holderin due course
73.0303 Valueand consideration
73.0304 Overdueinstrument
73.0305 Defensesand claims in recoupment
73.0306 Claimsto an instrument
73.0307 Noticeof breach of fiduciary duty
73.0308 Proofof signatures and status as holder in due course
73.0309 Enforcementof lost, destroyed or stolen instrument
73.0310 Effectof instrument on obligation for which taken
73.0311 Accordand satisfaction
73.0312 Lost,destroyed or stolen cashier’s check, teller’s check or certified check
LIABILITYOF PARTIES
73.0401 Signature
73.0402 Signatureby representative
73.0403 Unauthorizedsignature
73.0404 Impostors;fictitious payees
73.0405 Employer’sresponsibility for fraudulent indorsement by employee
73.0406 Negligencecontributing to forged signature or alteration of instrument
73.0407 Alteration
73.0408 Draweenot liable on unaccepted draft
73.0409 Acceptanceof draft; certified check
73.0410 Acceptancevarying draft
73.0411 Refusalto pay cashier’s checks, teller’s checks and certified checks
73.0412 Obligationof issuer of note or cashier’s check
73.0413 Obligationof acceptor
73.0414 Obligationof drawer
73.0415 Obligationof indorser
73.0416 Transferwarranties
73.0417 Presentmentwarranties
73.0418 Paymentor acceptance by mistake
73.0419 Instrumentssigned for accommodation
73.0420 Conversionof instrument
DISHONOR
73.0501 Presentment
73.0502 Dishonor
73.0503 Noticeof dishonor
73.0504 Excusedpresentment and notice of dishonor
73.0505 Evidenceof dishonor
DISCHARGEAND PAYMENT
73.0601 Dischargeand effect of discharge
73.0602 Payment
73.0603 Tenderof payment
73.0604 Dischargeby cancellation or renunciation
73.0605 Dischargeof indorsers and accommodation parties
73.010,73.020, 73.030, 73.040, 73.050, 73.060, 73.080, 73.090, 73.100, 73.110, 73.120,73.130, 73.140, 73.150, 73.160, 73.170, 73.180, 73.190, 73.200 [Repealed by1961 c.726 §427]
GENERALPROVISIONS
73.0101Short title.This chapter may be cited as Uniform Commercial Code–Negotiable Instruments. [1993c.545 §4]
73.0102Application of chapter. (1) This chapter applies to negotiable instruments.This chapter does not apply to money, to payment orders governed by ORS chapter74, or to securities governed by ORS chapter 78.
(2)If there is conflict between this chapter and ORS chapter 74 or 79, ORS chapter74 or 79 shall govern.
(3)Regulations of the Board of Governors of the Federal Reserve System andoperating circulars of the Federal Reserve Banks supersede any inconsistentprovision of this chapter to the extent of the inconsistency. [1993 c.545 §5;1995 c.79 §24]
73.0103Definitions.(1) As used in this chapter:
(a)“Acceptor” means a drawee who has accepted a draft.
(b)“Drawee” means a person ordered in a draft to make payment.
(c)“Drawer” means a person who signs or is identified in a draft as a personordering payment.
(d)“Maker” means a person who signs or is identified in a note as a personundertaking to pay.
(e)“Order” means a written instruction to pay money signed by the person givingthe instruction. The instruction may be addressed to any person, including theperson giving the instruction, or to one or more persons jointly or in thealternative but not in succession. An authorization to pay is not an orderunless the person authorized to pay is also instructed to pay.
(f)“Ordinary care” in the case of a person engaged in business means observance ofreasonable commercial standards, prevailing in the area in which the person islocated, with respect to the business in which the person is engaged. In thecase of a bank that takes an instrument for processing for collection orpayment by automated means, reasonable commercial standards do not require thebank to examine the instrument if the failure to examine does not violate thebank’s prescribed procedures and the bank’s procedures do not vary unreasonablyfrom general banking usage not disapproved under this chapter or ORS chapter74.
(g)“Party” means a party to an instrument.
(h)“Promise” means a written undertaking to pay money signed by the personundertaking to pay. An acknowledgment of an obligation by the obligor is not apromise unless the obligor also undertakes to pay the obligation.
(i)“Prove” with respect to a fact means to meet the burden of establishing thefact as defined in ORS 71.2010 (2)(h).
(j)“Remitter” means a person who purchases an instrument from the issuer if theinstrument is payable to an identified person other than the purchaser.
(2)Other definitions applying to this chapter and the sections in which theyappear are:
“Acceptance” ORS73.0409
“Accommodatedparty” ORS 73.0419
“Accommodationparty” ORS 73.0419
“Alteration” ORS73.0407
“Anomalousindorsement” ORS 73.0205
“Blankindorsement” ORS 73.0205
“Cashier’scheck” ORS 73.0104
“Certificateof deposit” ORS 73.0104
“Certifiedcheck” ORS 73.0409
“Check” ORS73.0104
“Consideration” ORS73.0303
“Demanddraft” ORS73.0104
“Draft” ORS73.0104
“Holderin due course” ORS 73.0302
“Incompleteinstrument” ORS 73.0115
“Indorsement” ORS73.0204
“Indorser” ORS73.0204
“Instrument” ORS73.0104
“Issue” ORS73.0105