Okla. Stat. tit. 12A, § 3-601 Discharge and Effect of Discharge

• Library: Oklahoma Statutes
• Edition: 2023
• Currency: Current through Laws 2023EX1, c. 52.
• Year: 2023
• Citation: Okla. Stat. tit. 12A, § 3-601

(a) The obligation of a party to pay the instrument is discharged as stated in this article or by an act or agreement with the party which would discharge an obligation to pay money under a simple contract.

(b) Discharge of the obligation of a party is not effective against a person acquiring rights of a holder in due course of the instrument without notice of the discharge.

Cite as Okla. Stat. tit. 12A, § 3-601

History: Laws 1961, p. 118, § 3-601; Amended by Laws 1991, SB 25, c. 117, § 89, eff. January 1, 1992.

Note:

Oklahoma Code Comment

Subsection (a) is not exclusive with respect to the discharge of a party's obligation to pay an instrument. Other types of discharge exist, as for example, a discharge in bankruptcy or a statutory provision for discharge if an instrument is negotiated in a gaming transaction. Prior Oklahoma decisions to the effect that the debtor has the burden of proving payment should still be valid. See John Deem Co. v. Payne, 592 P.2d 544 (Okla.Ct.App. 1979).