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Simple English definitions for legal terms

payment in due course

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A quick definition of payment in due course:

Payment in due course: When someone owes money and they pay it with a special kind of paper called a negotiable instrument, like a check, it's called payment in due course. If the person who gets the check did not know that it was late or that there were any problems with it, and they took it in good faith, then the debt is considered paid even if the check was cashed after the due date. This is called being a holder in due course.

A more thorough explanation:

Definition: Payment in due course refers to the payment made by a debtor on a negotiable instrument, even if it is made after the maturity date of the instrument. This payment discharges the instrument. The holder of the instrument, known as a holder in due course, must have taken the instrument in good faith, for value, and without notice of any legal claims against it.

Example: John owes $500 to his friend, Sarah. He writes a check to Sarah for the amount on the due date. Even though the check is post-dated, Sarah can still deposit it and receive payment in due course. If John had stopped payment on the check before the due date, Sarah would not have been able to receive payment in due course.

Explanation: This example illustrates payment in due course because Sarah received payment on a negotiable instrument (the check) even though it was post-dated. Since Sarah took the check in good faith, for value, and without notice of any legal claims against it, she is considered a holder in due course and the payment discharges the instrument.

payee | payment in full

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go kys not hys
15:56
retweet
i'm stealing that that's so funny
15:56
not hys? kys!
15:56
need a colloquial abbreviation for the rest of the t14
[] baddestbunny
15:57
super excited to announce that I've finally committed to kys
hahahaha
[] baddestbunny
15:57
waspy I'm dying over here
[] baddestbunny
15:57
they got me on the phones
15:58
put yo pussy on tha phone
you became a slave so others could live free
15:58
im tryna hear sumn
not so limp anymore are we
[] baddestbunny
15:58
nah they got all my friends on the phones too
[] baddestbunny
15:59
nobody important is free
[] baddestbunny
15:59
in 1 minute I'll be on my twelfth hour of work today
Dkk
16:00
I will apply to Yale if it helps the cause.
damn that is a lot of hours
do you get off at 7pm?
Dkk
16:01
@TheAdoptedOne: he gave up too easily.
[] baddestbunny
16:01
8!
Mr. Bad Fumbla
Bag
Dkk
16:01
Commits to kys when I commit to kms the same day. What a crazy november 5th.
[] baddestbunny
16:02
kms isn't even a t50 you should r&r
does anyone ever think about how we have no idea who everyone else here is? like you guys dont know me at all thats so crazy cause i talked to you more than ppl irl today
i'm a hallucination
the hat man
HopefullyInLawSchool
16:03
isnt r&r a t50?
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