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Can you summarize MNST 336.3-602?
UNIFORM COMMERCIAL CODE > PAYMENT.
Short Summary
This legal document, governed by the Minnesota Statutes under the Uniform Commercial Code, specifically section 336.3-602, pertains to the payment of instruments. It states that an instrument is considered paid when payment is made by or on behalf of a party obliged to pay the instrument to a person entitled to enforce the instrument. Additionally, it mentions that a note is considered paid if payment is made by or on behalf of a party obliged to pay the note to a person that formerly was entitled to enforce the note, provided that the party obliged to pay has not received adequate notification of the note’s transfer. The document also discusses the discharge of obligations of the party obliged to pay the instrument, even if there is a claim to the instrument by another person. It further addresses the notice of payment to transferees and parties acquiring rights in the instrument. The document concludes by stating that the obligation to pay the instrument is not discharged if payment is prohibited by court injunction, or if the instrument is known to be stolen and payment is made to a person in wrongful possession of the instrument.
Whom does it apply to?
Parties obliged to pay instruments and persons entitled to enforce instruments
What does it govern?
Payment of instruments
What are exemptions?
There are no specific exemptions mentioned in the document.
What are the Penalties?
No penalties are mentioned in the document.
Jurisdiction
Minnesota