§12A-3-109. Payable to Bearer or to Order.
202 words·~1 min read·
/ok/title-12a-uniform-commercial-code/12a-3-109·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
PAYABLE TO BEARER OR TO ORDER
(a)A promise or order is payable to bearer if it:
(1)states that it is payable to bearer or to the order of
bearer or otherwise indicates that the person in
possession of the promise or order is entitled to
payment;
(2)does not state a payee; or
(3)states that it is payable to or to the order of cash
or otherwise indicates that it is not payable to an
identified person.
(b)A promise or order that is not payable to bearer is payable to order if it is payable
(i)to the order of an identified person or
(ii)to an identified person or order. A promise or order that is payable to order is payable to the identified person.
(c)An instrument payable to bearer may become payable to an identified person if it is specially indorsed pursuant to subsection
(a)of Section 3-205 of this title. An instrument payable to an identified person may become payable to bearer if it is indorsed in blank pursuant to subsection
(b)of Section 3-205 of this title. Laws 1961, p. 104, § 3-109; Laws 1991, c. 117, § 34, eff. Jan. 1, 1992.