Tennessee Code Annotated
Tenn. Code Ann. § 47-2-511 (2026)
Tender of payment by buyer - Payment by check
✓ current as of May 2026
- (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 chapters 1-9 of this title on the effect of an instrument on an obligation (§ 47-3-310), payment by check is conditional and is defeated as between the parties by dishonor of the check on due presentment.
Acts 1963, ch. 81, § 1 (2-511); 1997, ch. 66, § 3.
Notes of Decisions
Cited in 2
cases, 1995–1999 · leading case: In Re the Julien Co., Debtor. Oakland Gin Co., Inc. v. Jack Marlow, Tr. for the Julien Co., 44 F.3d 426 (6th Cir. 1995).
In Re the Julien Co., Debtor. Oakland Gin Co., Inc. v. Jack Marlow, Tr. for the Julien Co., 44 F.3d 426 (6th Cir. 1995). “Section 47-2-507(2) of the Tennessee Code provides that “[w]here payment is due and demanded on the delivery to the buyer of the goods or documents of title, his right as against the seller to retain or dispose of them is conditional upon his making the payment due.”
Conister Trust v. Boating Corp. of Am. & Villas-Afloat (Tenn. Ct. App. 1999). “Tenn. Code Ann. § 47-2-511 (1). A seller “is not required to give up possession of the goods until he has received payment” absent an agreement for credit.”
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