N.Y. General Business Law 394-A – Proof of lost negotiable paper
§ 394-a. Proof of lost negotiable paper. 1. Where, upon the trial of an action, it appears that a negotiable instrument within article three of the uniform commercial code, upon which the action or a counterclaim interposed in the action is founded, was lost while it belonged to the party claiming the amount due thereupon, he may prove the contents thereof by parol or other secondary evidence and may recover or set off the amount due thereupon as if it was produced.
Terms Used In N.Y. General Business Law 394-A
- Counterclaim: A claim that a defendant makes against a plaintiff.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Trial: A hearing that takes place when the defendant pleads "not guilty" and witnesses are required to come to court to give evidence.
- Uniform Commercial Code: A set of statutes enacted by the various states to provide consistency among the states' commercial laws. It includes negotiable instruments, sales, stock transfers, trust and warehouse receipts, and bills of lading. Source: OCC
2. For that purpose, he must give to the adverse party a written undertaking, in a sum fixed by the judge or the referee, not less than twice the amount of the note or bill, with at least two sureties, approved by the judge or the referee, to the effect that he will indemnify the adverse party, his heirs and personal representatives, against any claim by any other person, on account of the note or bill, and against all costs and expenses, by reason of such a claim.
3. But where an action is prosecuted or defended by the state, or by a public officer in its behalf, the state or the public officer may prove the contents of a lost negotiable instrument within article three of the uniform commercial code, by parol or other secondary evidence, and may recover or set off the amount due thereupon, without giving any security to the adverse party notwithstanding section 3–804 of such code.