acceptor: a drawee who has accepted a draft.

bill of exchange or draft: an unconditional order in writing by one person on another, signed by the person giving it, and ordering the person to whom it is directed to pay upon demand or at a definite time a sum certain in money to order or to bearer.

cashier's check means a draft with respect to which the drawer and drawee are the same bank or branches of the same bank.

check means (i) a draft, other than a documentary draft, payable on demand and drawn on a bank or (ii) a cashier's c heck or teller's check. An instrument may be a check even though it is described on its face by another term, such as "money order."

drawee: a person ordered in a draft to make payment.

drawer: a person who signs or is identified in a draft as a person ordering payment.

good faith means honesty in fact and the observance of reasonable commercial standards of fair dealing.

holder in due course: a holder who has given value, taken in good faith without notice of dishonor, defenses, or that instrument is overdue and who is afforded special rights or status.

instrument means a negotiable instrument.
(c) An order that meets all of the requirements of subsection (a), except paragraph (1), and otherwise falls within the definition of "check" in subsection (f) is a negotiable instrument and a check.
(d) A promise or order other than a check is not an instrument if, at the time it is issued or first comes into possession of a holder, it contains a conspicuous statement, however expressed, to the effect that the promise or order is not negotiable or is not an instrument governed by this Article.
(e) An instrument is a "note" if it is a promise and is a "draft" if it is an order. If an instrument falls within the definition of both "note" and "draft," a person entitled to enforce the instrument may treat it as either.

maker means a person who signs or is identified in a note as a person undertaking to pay.

order means a written instruction to pay money signed by the person giving the instruction. The instruction may be addressed to any person, including the person giving the instruction, or to o ne or more persons jointly or in the alternative but not in succession. An authorization to pay is not an order unless the person authorized to pay is also instructed to pay.

party means a party to an instrument.

promise means a written undertaking to pay money signed by the person undertaking to pay. An acknowledgment of an obligation by the obligor is not a promise unless the obligor also undertakes to pay the obligation.

prove with respect to a fact means to meet the burden of establishing the fact (Section 1-201(8)).

remitter means a person who purchases an instrument from its issuer if the instrument is payable to an identified person other than the purchaser.

teller's check means a draft drawn by a bank (i) on another bank, or (ii) payable at or through a bank.

Source for glossary:
Anderson West Business Law

 




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