New Jersey § 12a:3-602
Full text of New Jersey New Jersey Statutes § 12a:3-602, with citation guidance and answers to common questions.
§ 12a:3-602.
a. Subject to subsection b. of this section, an instrument is paid to the extent payment
is made by or on behalf of a party obliged to pay the instrument, and to a person
entitled to enforce the instrument. To the extent of the payment, the obligation of the party obliged to pay the instrument
is discharged even though payment is made with knowledge of a claim to the instrument
under 12A:3-306 by another person. b. The obligation of a party to pay the instrument is not discharged under subsection
a. of this section if: (1) a claim to the instrument under 12A:3-306 is enforceable against the party receiving
payment and payment is made with knowledge by the payor that payment is prohibited
by injunction or similar process of a court of competent jurisdiction, or in the case
of an instrument other than a cashier's check, teller's check, or certified check,
the party making payment accepted, from the person having a claim to the instrument,
indemnity against loss resulting from refusal to pay the person entitled to enforce
the instrument; or (2) the person making payment knows that the instrument is a stolen instrument and
pays a person it knows is in wrongful possession of the instrument.
Frequently Asked Questions About New Jersey § 12a:3-602
What does New Jersey Statutes § 12a:3-602 cover?
Section 12a:3-602 is part of the New Jersey Statutes, the codified statutory law of New Jersey. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite New Jersey § 12a:3-602?
A common citation format is "New Jersey Statutes § 12a:3-602" (New Jersey). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of New Jersey law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the New Jersey official source linked on this page or consult a licensed New Jersey attorney.
How does New Jersey § 12a:3-602 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in New Jersey can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in New Jersey.