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Can you summarize IACO 554.3419?
UNIFORM COMMERCIAL CODE > Instruments signed for accommodation.
Short Summary
This legal document, governed by the Iowa Code under the Uniform Commercial Code, pertains to instruments signed for accommodation. It outlines the conditions under which an accommodation party signs an instrument for the benefit of another party. An accommodation party may sign the instrument as a maker, drawer, acceptor, or endorser and is obligated to pay the instrument in the capacity in which they sign. The obligation of an accommodation party can be enforced regardless of any statute of frauds or whether they receive consideration for the accommodation. The document also discusses the presumption of an accommodation party’s status, notice requirements, and the obligations of a party guaranteeing collection. It further explains the rights of reimbursement and enforcement for both the accommodation party and the accommodated party. The document does not mention any specific exemptions or penalties.
Whom does it apply to?
Parties involved in the signing of an instrument for accommodation
What does it govern?
Instruments signed for accommodation
What are exemptions?
No exemptions are mentioned
What are the Penalties?
No penalties are mentioned
Jurisdiction
Iowa