47-3407. Alteration


A. "Alteration" means:


1. An unauthorized change in an instrument that purports to modify in any respect
the obligation of a party; or


2. An unauthorized addition of words or numbers or other change to an incomplete
instrument relating to the obligation of a party.


B. Except as provided in subsection C, an alteration fraudulently made discharges a
party whose obligation is affected by the alteration unless that party assents or is
precluded from asserting the alteration. No other alteration discharges a party, and the
instrument may be enforced according to its original terms.


C. A payor bank or drawee paying a fraudulently altered instrument or a person
taking it for value, in good faith and without notice of the alteration, may enforce
rights with respect to the instrument:


1. According to its original terms; or


2. In the case of an incomplete instrument altered by unauthorized completion,
according to its terms as completed.