ENTITLED, An Act  to revise certain provisions of the Uniform Commercial Code relating to nonnegotiable instruments.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
     Section  1.  That subsection (i) of § 57A-9-105 be amended to read as follows:

             (i)      "Instrument" means a negotiable instrument (defined in § 57A-3-104), or a certificated security (defined in §   57A-8-102), a writing that would otherwise qualify as a certificate of deposit as defined in subsection (j) of §  57A-3-104 but for the fact that the writing contains a limitation on transfer, or any other writing which evidences a right to the payment of money and is not itself a security agreement or lease and is of a type which is in ordinary course of business transferred by delivery with any necessary endorsement or assignment;

     Section  2.  That subsection (d) of § 57A-3-110 be amended to read as follows:

     (d)  If an instrument is payable to two or more persons alternatively, it is payable to any of them and may be negotiated, discharged, or enforced by any or all of them in possession of the instrument. If an instrument is payable to two or more persons not alternatively, it is payable to all of them and may be negotiated, discharged, or enforced only by all of them. If an instrument payable to two or more persons is ambiguous as to whether it is payable to the persons alternatively, the instrument is payable to the persons alternatively. For the purposes of this subsection, the term, instrument, includes a writing that would otherwise qualify as a certificate of deposit but for the fact that the writing contains a limitation on transfer.

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An Act to revise certain provisions of the Uniform Commercial Code relating to nonnegotiable instruments.

========================= I certify that the attached Act originated in the		========================= Received at this Executive Office this ____ day of _____________ ,
HOUSE as Bill No. 1072		19___ at _____ M.

____________________________
Chief Clerk

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By _________________________
for the Governor

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____________________________
Speaker of the House

Attest:

____________________________
Chief Clerk

____________________________
President of the Senate

Attest:

____________________________
Secretary of the Senate     The attached Act is hereby approved this ________ day of ______________ , A.D., 19___

____________________________
Governor
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STATE OF SOUTH DAKOTA,

ss.

Office of the Secretary of State

Filed ____________ , 19___
at _________ o'clock __ M.  

House Bill No. 1072
File No. ____
Chapter No. ______  

 

____________________________
Secretary of State

By _________________________
Asst. Secretary of State