§ 25-3-601. Discharge and effect of discharge. - North Carolina Statutes

Part 6.

DISCHARGE AND PAYMENT.

§ 25‑3‑601. Discharge and effect of discharge.

(a)        The obligation of aparty to pay the instrument is discharged as stated in this Article or by anact or agreement with the party which would discharge an obligation to pay moneyunder a simple contract.

(b)        Discharge of theobligation of a party is not effective against a person acquiring rights of aholder in due course of the instrument without notice of the discharge. (1899,c. 733, ss. 15, 16, 57, 119 to 121; Rev., ss. 2165, 2166, 2206, 2269 to 2271;C.S., ss. 2296, 2297, 3038, 3101 to 3103; 1965, c. 700, s. 1; 1995, c. 232, s.1.)