393A.590 Evidence of unpaid debt or undischarged obligation.

248 words·~1 min read·/ky/chapter-393a/393a-590

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)A record of a putative holder showing an unpaid debt or undischarged obligation

shall be prima facie evidence of the debt or obligation.

(2)A putative holder may establish by a preponderance of the evidence that there is no

unpaid debt or undischarged obligation for a debt or obligation described in

subsection

(1)of this section or that the debt or obligation was not, or no longer is, a

fixed and certain obligation of the putative holder.

(3)A putative holder may overcome prima facie evidence under subsection

(1)of this

section by establishing by a preponderance of the evidence that a check, draft, or

similar instrument was:

(a)Issued as an unaccepted offer in settlement of an unliquidated amount;

(b)Issued but later was replaced with another instrument because the earlier

instrument was lost or contained an error that was corrected;

(c)Issued to a party affiliated with the issuer;

(d)Paid, satisfied, or discharged;

(e)Issued in error;

(f)Issued without consideration;

(g)Issued but there was a failure of consideration;

(h)Voided not later than ninety

(90)days after issuance for a valid business

reason set forth in a contemporaneous record; or

(i)Issued but not delivered to the third-party payee for a sufficient reason

recorded within a reasonable time after issuance.

(4)In asserting a defense under this section, a putative holder may present evidence of a

course of dealing between the putative holder and the apparent owner or of custom

and practice.