SB339 Alabama 2014 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Scott Beason
Republican
Session: Regular Session 2014
Title: Negotiating a worthless negotiable instrument, crime of, electronic drafts included, Sec. 13A-9-13.1 am'd.
Summary: SB339 adds electronic drafts to the definition of negotiable instruments and makes negotiating a worthless instrument a Class A misdemeanor with specific conditions for when dishonor is presumed.
What This Bill Does
It explicitly includes electronic drafts in the negotiable instrument definition. It establishes prima facie evidence that the maker or drawer intended not to honor the instrument in certain scenarios (no account with the drawee, nonpayment with proper notice, or undelivered notice of dishonor). It designates negotiating a worthless instrument as a Class A misdemeanor and notes the bill creates a new crime, which affects how local expenditure rules apply; it becomes law after a set delay following passage and gubernatorial approval.

Who It Affects
People or entities who issue or negotiate negotiable instruments (including electronic drafts) for value, who could be charged if the instrument is not honored.
Holders of negotiable instruments such as banks, financial institutions, or individuals who may benefit from clearer evidence of dishonor and enhanced enforcement when instruments are dishonored.

Key Provisions
Electronic drafts are included in the definition of 'negotiable instrument.'
Prima facie evidence that the maker or drawer intended, knew, or expected nonpayment in these cases: (1) no account with the drawee; (2) payment refused for lack of funds within 30 days and no payment within 10 days after notice with a lawful service charge; (3) notice of payment refusal is mailed and undelivered.
Negotiating a worthless negotiable instrument is a Class A misdemeanor.
Definitions and cross-references for 'negotiable instrument,' 'negotiation,' and 'delivery' apply to this section, with electronic drafts included in the scope.
The bill is exempt from certain local expenditure requirements because it creates a new crime (not subject to the 2/3 vote/local approval rule).
Effective date: the first day of the third month after passage and governor's approval.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Crimes and Offenses