Michigan Compiled Laws

Mich. Comp. Laws § 440.2511 (2026)

Payment by buyer; tender, check.

✓ current as of July 2026

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UNIFORM COMMERCIAL CODE

Act 174 of 1962

440.2511 Payment by buyer; tender, check.

Sec. 2511.

(1) Unless otherwise agreed tender of payment is a condition to the seller's duty to tender and complete any delivery.

(2) Tender of payment is sufficient when made by any means or in any manner current in the ordinary course of business unless the seller demands payment in legal tender and gives any extension of time reasonably necessary to procure it.

(3) Subject to the provisions of this act on the effect of an instrument on an obligation (section 3802), payment by check is conditional and is defeated as between the parties by dishonor of the check on due presentment.

History: 1962, Act 174, Eff. Jan. 1, 1964

Notes of Decisions

Cited in 3 cases, 1985–2013 · leading case: Fisher Sand & Gravel Co. v. Neal a Sweebe, Inc., 81 U.C.C. Rep. Serv. 2d (West) 239 (Mich. 2013).

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Fisher Sand & Gravel Co. v. Neal a Sweebe, Inc., 81 U.C.C. Rep. Serv. 2d (West) 239 (Mich. 2013). · cites it 2× “” And as a further example, MCL 440.2511(1) states that “[u]nless otherwise agreed tender of payment is a condition to the seller’s duty to tender and complete any delivery.”

Genesee Merchants Bank & Trust Co. v. Tucker Motor Sales, 372 N.W.2d 546 (Mich. Ct. App. 1985). · cites it 2× “" [5] MCL 440.2511(3); MSA 19.2511(3), which provides: "Subject to the provisions of this act on the effect of an instrument on an obligation (section 3802), payment by check is conditional and is defeated as between the parties by dishonor of the check on due presentment.”

Uni-Prods., Inc. v. Bearse (In Re Uni-Prods., Inc.), 153 B.R. 764 (Bankr. E.D. Mich. 1993). · cites it 2× “2201(3)(c). The premise underlying that subsection’s exception as to “goods for which payment has been made and accepted” is that such payment offers sufficient evidence that a sale transaction did in fact occur between the parties, notwithstanding the absence of a written sale…”

— Mich. Comp. Laws § 440.2511(1) — 1 case

Fisher Sand & Gravel Co. v. Neal a Sweebe, Inc., 81 U.C.C. Rep. Serv. 2d (West) 239 (Mich. 2013). “” And as a further example, MCL 440.2511(1) states that “[u]nless otherwise agreed tender of payment is a condition to the seller’s duty to tender and complete any delivery.”

— Mich. Comp. Laws § 440.2511(3) — 2 cases

Genesee Merchants Bank & Trust Co. v. Tucker Motor Sales, 372 N.W.2d 546 (Mich. Ct. App. 1985). “" [5] MCL 440.2511(3); MSA 19.2511(3), which provides: "Subject to the provisions of this act on the effect of an instrument on an obligation (section 3802), payment by check is conditional and is defeated as between the parties by dishonor of the check on due presentment.”

Uni-Prods., Inc. v. Bearse (In Re Uni-Prods., Inc.), 153 B.R. 764 (Bankr. E.D. Mich. 1993). “2201(3)(c). The premise underlying that subsection’s exception as to “goods for which payment has been made and accepted” is that such payment offers sufficient evidence that a sale transaction did in fact occur between the parties, notwithstanding the absence of a written sale…”

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