Certain negotiable instruments prohibited.

Utah Code § 70C-2-204 (until 5/5/2027), under Part 70C-2-2: Limitations on Agreements and Practices.

Utah Code § 70C-2-204 (until 5/5/2027)

70C-2-204. Certain negotiable instruments prohibited.

(1) With respect to a consumer credit sale not involving real property, the seller may not take a negotiable instrument under Sectionother than a check as evidence of the obligation of the buyer. 70A-3-104

(2) A holder is not in good faith as that term is defined in Sectionif the holder takes a negotiable instrument with notice that the negotiable instrument is issued in violation of this section. 70A-1a-201

(3) A holder in due course under Sectionis not subject to the liabilities set forth in the provisions on the effect of violations on rights of parties under Section. 70A-3-302 70C-7-201