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Can you summarize MNST 336.3-302?
UNIFORM COMMERCIAL CODE > HOLDER IN DUE COURSE.
Short Summary
This legal document, governed by the Minnesota Statutes under the Uniform Commercial Code, defines the concept of a ‘holder in due course’. A holder in due course refers to a person who holds an instrument, such as a negotiable instrument, without any apparent evidence of forgery, alteration, or irregularity that questions its authenticity. To be considered a holder in due course, certain conditions must be met, including taking the instrument for value, in good faith, and without notice of any issues related to the instrument. The document also clarifies that notice of discharge of a party does not constitute notice of a defense, and public filing or recording of a document does not automatically constitute notice of a defense or claim to the instrument. The document further outlines specific circumstances where a person does not acquire the rights of a holder in due course. Overall, this document provides the legal framework for determining the status of a holder in due course and the rights associated with it.
Whom does it apply to?
Holders of instruments
What does it govern?
Holder in due course
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Minnesota