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Can you summarize NHRS 382-A:3-419?
UNIFORM COMMERCIAL CODE > Instruments Signed for Accommodation.
Short Summary
This legal document, part of the New Hampshire Revised Statutes under the Uniform Commercial Code, governs the signing of instruments for accommodation. It applies to situations where an instrument is issued for the benefit of a party (the accommodated party) and another party (the accommodation party) signs the instrument to incur liability without being a direct beneficiary. The accommodation party may sign the instrument as a maker, drawer, acceptor, or indorser 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 and whether or not they receive consideration for the accommodation. The document also establishes that a person signing an instrument is presumed to be an accommodation party if their signature is anomalous or accompanied by words indicating they are acting as a surety or guarantor. The obligation of an accommodation party to pay the instrument is not affected by the fact that the person enforcing the obligation had prior notice of the accommodation. Additionally, the document outlines the circumstances under which an accommodation party guaranteeing collection is obliged to pay the amount due on the instrument. It also addresses the rights of reimbursement and enforcement between the accommodation party and the accommodated party. No specific exemptions or penalties are mentioned in this document.
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
New Hampshire