The Vermont Statutes Online
The Statutes below include the actions of the 2025 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
(Cite as: 9A V.S.A. § 3-604)
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§ 3—604. Discharge by cancellation or renunciation
(a) A person entitled to enforce an instrument, with or without consideration, may discharge
the obligation of a party to pay the instrument (i) by an intentional voluntary act,
such as surrender of the instrument to the party, destruction, mutilation, or cancellation
of the instrument, cancellation or striking out of the party’s signature, or the addition
of words to the instrument indicating discharge, or (ii) by agreeing not to sue or
otherwise renouncing rights against the party by a signed record. The obligation of
a party to pay a check is not discharged solely by destruction of the check in connection
with a process in which information is extracted from the check and an image of the
check is made and, subsequently, the information and image are transmitted for payment.
(b) Cancellation or striking out of an indorsement pursuant to subsection (a) does not
affect the status and rights of a party derived from the indorsement. (Added 1993, No. 158 (Adj. Sess.), § 12, eff. Jan. 1, 1995; amended 2025, No. 17, § 4, eff. July 1, 2025.)