Ala. Code
Code of Alabama

Ala. Code § 7-3-410 (2026)

Acceptance Varying Draft.

✓ official Alabama Legislature (ALISON) text, current July 2026
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(a) If the terms of a drawee’s acceptance vary from the terms of the draft as presented, the holder may refuse the acceptance and treat the draft as dishonored. In that case, the drawee may cancel the acceptance.

(b) The terms of a draft are not varied by an acceptance to pay at a particular bank or place in the United States, unless the acceptance states that the draft is to be paid only at that bank or place.

(c) If the holder assents to an acceptance varying the terms of a draft, the obligation of each drawer and indorser that does not expressly assent to the acceptance is discharged.

(Acts 1995, No. 95-668, p. 1381, §1.)

Notes of Decisions
Cited in 2 cases, 1986–1992 · leading case: Bar-Ram Irrigation Prods. v. Phenix-Girard Bank, Shalom Irrigation, Inc., 779 F.2d 1501 (11th Cir. 1986).
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Bar-Ram Irrigation Prods. v. Phenix-Girard Bank, Shalom Irrigation, Inc., 779 F.2d 1501 (11th Cir. 1986). “The drafts were not signed by the drawee as required by Alabama law, which provides in Ala.Code § 7-3-410(1) (1975): Acceptance is the drawee’s signed engagement to honor the draft as presented.”
Walker v. Cmty. Bank, 596 So. 2d 886 (Ala. 1992). “See § 7-3-410(1), Code of Alabama 1975. Because the purchaser of the cashier’s check never became a holder under the U.”
— Ala. Code § 7-3-410(1) — 2 cases
Bar-Ram Irrigation Prods. v. Phenix-Girard Bank, Shalom Irrigation, Inc., 779 F.2d 1501 (11th Cir. 1986). “The drafts were not signed by the drawee as required by Alabama law, which provides in Ala.Code § 7-3-410(1) (1975): Acceptance is the drawee’s signed engagement to honor the draft as presented.”
Walker v. Cmty. Bank, 596 So. 2d 886 (Ala. 1992). “See § 7-3-410(1), Code of Alabama 1975. Because the purchaser of the cashier’s check never became a holder under the U.”
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