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New York Consolidated Laws, Uniform Commercial Code - UCC § 3-122. Accrual of Cause of Action

Current as of January 01, 2026 | Updated by Findlaw Staff

(1) A cause of action against a maker or an acceptor accrues

(a) in the case of a time instrument on the day after maturity;

(b) in the case of a demand instrument upon its date or, if no date is stated, on the date of issue.

(2) A cause of action against the obligor of a demand or time certificate of deposit accrues upon demand, but demand on a time certificate may not be made until on or after the date of maturity.

(3) A cause of action against a drawer of a draft or an indorser of any instrument accrues upon demand following dishonor of the instrument.  Notice of dishonor is a demand.

(4) Unless an instrument provides otherwise, interest runs at the rate provided by law for a judgment

(a) in the case of a maker, acceptor or other primary obligor of a demand instrument, from the date of demand;

(b) in all other cases from the date of accrual of the cause of action.

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Cite this article: FindLaw.com - New York Consolidated Laws, Uniform Commercial Code - UCC § 3-122. Accrual of Cause of Action - last updated January 01, 2026 | https://codes.findlaw.com/ny/uniform-commercial-code/ucc-sect-3-122/

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