Sec. 7. (a) All contracts and instruments executed after June 10, 1935, within Indiana in payment, satisfaction, settlement, or compromise of any claim or cause of action abolished or barred by this chapter, whether the claim or cause of action arose within or outside Indiana, are declared to be contrary to the public policy of Indiana and void.

     (b) It is unlawful to cause, induce, or procure any person to:

(1) execute a contract or instrument described in subsection (a);

(2) cause, induce, or procure any person to give, pay, transfer, or deliver any money or thing of value in payment, satisfaction, settlement, or compromise of a claim or cause of action described in subsection (a); or

(3) receive, take, or accept any money or thing of value in payment, satisfaction, settlement, or compromise of a claim or cause of action described in subsection (a).

     (c) It is unlawful to commence or cause to be commenced, either as litigant or attorney, in any court of Indiana, any proceeding or action seeking to enforce or recover upon a contract or instrument described in subsection (a), knowing it to be void, whether the contract or instrument was executed within or outside Indiana.

     (d) This section does not apply to:

(1) the payment, satisfaction, settlement, or compromise of any:

(A) causes of action that are not abolished or barred by this chapter; or

(B) contracts or instruments executed before June 10, 1935; or

(2) the bona fide holder in due course of any negotiable instrument executed after June 10, 1935.

[Pre-1998 Recodification Citation: 34-4-4-7.]

As added by P.L.1-1998, SEC.7.