84-3-410. Acceptance varying draft. (a) If the terms of a drawee's acceptance vary from the terms of the draft as presented, the holder may refuse the acceptance and treat the draft as dishonored. In that case, the drawee may cancel the acceptance.
(b) The terms of a draft are not varied by an acceptance to pay at a particular bank or place in the United States, unless the acceptance states that the draft is to be paid only at that bank or place.
(c) If the holder assents to an acceptance varying the terms of a draft, the obligation of each drawer and endorser that does not expressly assent to the acceptance is discharged.
History: L. 1991, ch. 296, § 47; February 1, 1992.
KANSAS COMMENT, 1996
This section text is identical to the 1995 Official Text. This section is derived from the former 84-3-412(1), (2) and (3). Historical case and statutory references can be obtained from the 1965 and 1983 bound volume 7 of the Kansas Statutes Annotated.
If an acceptance varies a draft, the holder can reject the acceptance and treat the draft as dishonored, triggering the obligations of prior parties, and the drawee can cancel the acceptance, ending any obligations of the acceptor. Subsection (a).
If the holder allows an acceptance varying the terms of the draft, the variation will change the contract of the prior parties, discharging them (unless they agree). The holder will then have an instrument with the drawee's obligation and not the drawer's. The drawee-acceptor should be able to charge the drawer for the original item.
Revisor's Note:
Former section 84-3-410 was repealed by L. 1991, ch. 296, § 111 and the number reassigned to the current text.
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