Section 45.03.108. Payable on demand or at definite time.

   (a) A promise or order is payable on demand if it
        (1) states that it is payable on demand or at sight, or otherwise indicates that it is payable at the will of the holder; or
        (2) does not state a time of payment.
   (b) A promise or order is payable at a definite time if it is payable on elapse of a definite period of time after sight or acceptance or at a fixed date or dates or at a time or times readily ascertainable at the time the promise or order is issued, subject to rights of
        (1) prepayment;
        (2) acceleration;
        (3) extension at the option of the holder; or
        (4) extension to a further definite time at the option of the maker or acceptor, or automatically on or after a specified act or event.
   (c) If an instrument, payable at a fixed date, is also payable upon demand made before the fixed date, the instrument is payable on demand until the fixed date and, if demand for payment is not made before that date, becomes payable at a definite time on the fixed date.

Authorities

45.03.103

Notes

References

AS 45.03.103 Definitions.

History

(Sec. 3.108 ch 114 SLA 1962; am Sec. 21 ch 35 SLA 1993)