CAPITAL UNIVERSITY LAW SCHOOL

COMMERCIAL PAPER
  PROF. FERRIELL - SPRING 2009

SYLLABUS

INTRODUCTION

Welcome to Commercial Paper, known now at some schools as “Payment Systems”.

In this course you will study the law of Negotiable Instruments under UCC Article 3 (primarily checks and promissory notes); the Check Collection Process under UCC Article 4, certain Federal Reserve Board Regulations, and the Expedited Funds Availability Act; and Electronic Funds Transfers under UCC Article 4A and the Federal Electronic Funds Transfer Act.

REQUIRED MATERIALS

Douglas Whaley, Problems and Materials on Payment Law (8th ed. 2008) ISBN13 978-0-7355-6566-1  ISBN10: 0-7355-6566-X

2008 Selected Commercial and Debtor-Creditor Statutes (Foundation 2008) (or any similar statutory supplement containing the 1990 version of UCC Articles 3 & 4).  Revisions to Articles 3 & 4 were proposed in 2002 but have not yet been widely adopted. ISBN 978-1-59941-526-0

Note – Pre-2001 Version of UCC Article 1.  Your statutory supplement will contain two versions of UCC Article 1.  Prof. Whaley's citations are to the pre-2001 version and those are what we will use. It appears in Section 3 of Part 1 of the assigned statutory supplement, beginning at p. 1049.  If you're unsure which version of Article 1 you are consulting, see if § 1-201 is divided into 1-201(a) and (b)(1)-(47) (the new version) or 1-201(1)-(46) (without an (a) or (b)) (the pre-2001 version).  About half of the states have adopted the new version of Article 1; the other half still have the pre-2001 version.  One of my jobs this, as an Ohio NCCUSL Commissioner, is to try to get revised Article 1 adopted in Ohio. To see if any particular state has adopted the new version see the NCCUSL web site at www.nccusl.org

Note – 1990 Version of UCC Articles 3 & 4.  Your book also contains two versions of UCC Articles 3 and 4. The 2002 revisions to articles 3 & 4 have been adopted in only a few states, not including Ohio, but are currently pending in New York, a significant banking state. Prof. Whaley’s book refers to the pre-revision, 1990 version and that is what we will use.  Note that an appendix to his book contains the 1990 version of UCC § 3-605, that is still applicable in Ohio and most other states.

COURSE REQUIREMENTS

Course requirements will include: 1) class preparation, attendance, and participation; 2) a final exam.

Attendance. I expect you to attend every regularly scheduled class session unless circumstances beyond your control make this impracticable (Cf. UCC 2-615). 

Preparation. I expect you, as well, to prepare for every class and participate in class discussions on a volunteer basis and when called upon.   

Final Exam. Unless limited due to excessive absences, your grade will depend on your performance on a final exam given at the end of the semester.  The final exam will be closed book. You may not have any materials with you during the exam.

READING ASSIGNMENTS

These assignments include any relevant statutory provisions mentioned in the textual material, including annotations associated with those statutory provisions (e.g., Official Comments to the U.C.C.) contained in the statutory supplement.