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Can you summarize 810 ILCS 5/3-409?
LIABILITY OF PARTIES >
Short Summary
This section of the Illinois Compiled Statutes, specifically the Uniform Commercial Code, governs the acceptance of drafts and certified checks. Acceptance refers to the drawee’s agreement to pay a draft as presented, which must be written on the draft and can consist of the drawee’s signature alone. Acceptance can be made at any time and becomes effective upon notification or delivery of the accepted draft. The section also clarifies that a draft can be accepted even if it lacks the drawer’s signature, is incomplete, overdue, or has been dishonored. Additionally, it explains that if a draft is payable at a fixed period after sight and the acceptor fails to date the acceptance, the holder may complete the acceptance by supplying a date in good faith. Furthermore, the section defines a certified check as a check accepted by the bank on which it is drawn. Acceptance of a certified check can be made through a writing on the check indicating certification. It is important to note that the drawee of a check is not obligated to certify it, and refusal to certify does not constitute dishonor of the check.
Whom does it apply to?
Drawees, holders, and banks involved in the acceptance and certification of drafts and checks
What does it govern?
Acceptance of drafts and certified checks
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Illinois