Except as otherwise provided in
Chapter 3, Uniform Commercial Code – Negotiable Instruments,
Chapter 4, Uniform Commercial Code – Bank Deposits and Collections, and
Chapter 5, Uniform Commercial Code – Letters of Credit, a
person gives value for rights if the person acquires them:
| (1) |
in return for a binding commitment to extend credit or for the extension of immediately available credit, whether or not drawn upon and whether or not a charge-back is provided for in the event of difficulties in collection; |
Terms Used In Utah Code 70A-1a-204
- Contract: A legal written agreement that becomes binding when signed.
- Person: means :Utah Code 68-3-12.5
- Uniform Commercial Code: A set of statutes enacted by the various states to provide consistency among the states' commercial laws. It includes negotiable instruments, sales, stock transfers, trust and warehouse receipts, and bills of lading. Source: OCC
| (2) |
as security for, or in total or partial satisfaction of, a preexisting claim; |
| (3) |
by accepting delivery under a preexisting contract for purchase; or |
| (4) |
in return for any consideration sufficient to support a simple contract. |
Enacted by Chapter 272, 2007 General Session
