400.3-117. Other agreements affecting instrument. - Missouri Statutes

Other agreements affecting instrument.

400.3-117. Subject to applicable law regarding exclusion ofproof of contemporaneous or previous agreements, the obligationof a party to an instrument to pay the instrument may bemodified, supplemented, or nullified by a separate agreement ofthe obligor and a person entitled to enforce the instrument, ifthe instrument is issued or the obligation is incurred inreliance on the agreement or as part of the same transactiongiving rise to the agreement. To the extent an obligation ismodified, supplemented, or nullified by an agreement under thissection, the agreement is a defense to the obligation.

(L. 1992 S.B. 448)

*No continuity with § 400.3-117 as repealed by L. 1992 S.B. 448.

(1994) Although bank made payment to lock box identification number which appeared on face of check, it constitutes lack of ordinary care when bank made payment of check proceeds to lock box which did not belong to named payee which appeared on check. Continental Airlines v. Boatmen's National Bank, 13 F.3d 1254 (8th Cir.)