CHAPTER 3. NEGOTIABLE INSTRUMENTS

IC 26-2-3
    Chapter 3. Negotiable Instruments

IC 26-2-3-1
Negotiability by endorsement
    Sec. 1. All promissory notes, bills of exchange, bonds or otherinstruments in writing, signed by any person who promises to paymoney, or acknowledges money to be due, or for the delivery of aspecific article, or to convey property, or to perform any stipulationtherein mentioned, shall be negotiable by endorsement thereon, so asto vest the property thereof in each endorsee successively.
(Formerly: Acts 1861, c.75, s.1.)

IC 26-2-3-2
Assignee's right of action
    Sec. 2. The assignee of any such instrument may, in his ownname, recover against the person who made the same.
(Formerly: Acts 1861, c.75, s.2.)

IC 26-2-3-3
Availability of defense or set-off against assignee
    Sec. 3. Whatever defense or setoff the maker of any suchinstrument had, before notice of assignment, against an assignor, oragainst the original payee, he shall have also against their assignees.
(Formerly: Acts 1861, c.75, s.3.)

IC 26-2-3-4
Assignee's right of action against endorsers; defenses
    Sec. 4. Any such assignee, having used due diligence in thepremises, shall have his action against his immediate or any remoteendorser, and in suit against a remote endorser, he shall have anydefense which he might have had in a suit brought by his immediateassignee.
(Formerly: Acts 1861, c.75, s.4.)

IC 26-2-3-5
Construction of law
    Sec. 5. The provisions of sections 3 and 4 of this chapter shall notalter the law relative to bills of exchange as it exists on July 5, 1861.
(Formerly: Acts 1861, c.75, s.5.) As amended by P.L.152-1986,SEC.303.

IC 26-2-3-6
Negotiability of notes payable to order or bearer in a bank
    Sec. 6. Notes payable to order or bearer in a bank in this stateshall be negotiable as inland bills of exchange, and the payees andendorsees thereof may recover as in case of such bills.
(Formerly: Acts 1861, c.75, s.6.)

IC 26-2-3-7 Damages payable on protest for nonpayment or nonacceptance ofbill of exchange
    Sec. 7. Damages payable on protest for nonpayment ornonacceptance of a bill of exchange, drawn or negotiated within thisstate, shall be, if drawn upon any person at any place out of this state,but within the United States, five per cent (5%), but if upon anyperson at any place without the United States, ten per cent (10%) onthe principal of such bill.
(Formerly: Acts 1861, c.75, s.7.)

IC 26-2-3-8
Interest on protested bill of exchange
    Sec. 8. Beyond such damages, no interest or charges accruingprior to protest shall be allowed, but interest from the date of theprotest may be recovered.
(Formerly: Acts 1861, c.75, s.8.)

IC 26-2-3-9
Rate of exchange
    Sec. 9. As to any such bills payable within the United States, therate of exchange shall not be taken into account.
(Formerly: Acts 1861, c.75, s.9.)

IC 26-2-3-10
Limitation of damages against drawer or endorser of protested billof exchange
    Sec. 10. No damages beyond cost of protest shall be chargeableagainst drawer or endorser, if, upon notice of protest and demand ofthe principal sum, the same is paid.
(Formerly: Acts 1861, c.75, s.10.)

IC 26-2-3-11
Necessity of consideration
    Sec. 11. No holder of a bill of exchange shall recover damagesthereon, if he has not given for the same, or for some interest therein,a valuable consideration.
(Formerly: Acts 1861, c.75, s.11.)

IC 26-2-3-12
Bill payable out of state; effect of provision of means for dischargewithin state
    Sec. 12. On any bill drawn or negotiated in this state, and payableat any place without the state, but in regard to which it shall appearthat it was not to be presented for acceptance or payment at thatplace, if means were provided for its discharge within the state, nodamages or charges for protest shall be allowed.
(Formerly: Acts 1861, c.75, s.12.)

IC 26-2-3-13
Exclusion of notes discounted by bank    Sec. 13. The provisions of this chapter relating to damages onbills of exchange shall not apply to promissory notes discounted bya bank, and protested for nonpayment.
(Formerly: Acts 1861, c.75, s.13.) As amended by P.L.152-1986,SEC.304.

IC 26-2-3-14
Judgment and execution
    Sec. 14. Upon any instrument of writing, made within this state orelsewhere, containing a promise to pay money without relief fromvaluation laws, judgment shall be rendered and execution hadaccordingly.
(Formerly: Acts 1861, c.75, s.15.)