§3-1202. Negotiation subject to rescission

Link to law: http://legislature.maine.gov/legis/statutes/11/title11sec3-1202.html
Published: 2015

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§3-1202. Negotiation subject to rescission








(1). 
 
Negotiation is effective even if obtained:





(a). From an infant, a corporation exceeding its powers or a person without capacity; [1993, c. 293, Pt. A, §2 (NEW).]










(b). By fraud, duress or mistake; or [1993, c. 293, Pt. A, §2 (NEW).]










(c). In breach of duty or as part of an illegal transaction. [1993, c. 293, Pt. A, §2 (NEW).]







[
1993, c. 293, Pt. A, §2 (NEW)
.]








(2). 
 
To the extent permitted by other law, negotiation may be rescinded or may be subject
to other remedies, but those remedies may not be asserted against a subsequent holder
in due course or a person paying the instrument in good faith and without knowledge
of facts that are a basis for rescission or other remedy.


[
1993, c. 293, Pt. A, §2 (NEW)
.]





SECTION HISTORY

1993, c. 293, §A2 (NEW).