Our company maintains adequate funds available to service all outstanding instruments.
If the need arises to verify fund availability, please contact customer service.
Some banks are unfamiliar with Electronic Money Orders and may be hesitant to accept them at first. We encourage you to print this page and present it to your bank.
The following is a series of excerpts from the Uniform Commercial Code, which govern banks and their many products and services. These regulations are approved by the United States and adopted by almost all states verbatim. These excerpts demonstrate that EMOs are fully legal as Negotiable Instruments under US Law, making them acceptable to any bank which accepts US-regulated Check Formats for deposit.
(The Italicized Comments under each line explain its pertinence to EMOs)
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Uniform Commercial Code, Article 1, Section 1-201 [39]
"Signed" includes any symbol executed
or adopted by a party with present intention to authenticate a writing.
Since EMOs are transmitted via the Internet, no one can be present to sign each one. This requires us to have another means of proving intention to execute the EMO. This is satisfied by our issuance of an Authorization Control Code for each EMO. This Authorization Control Code is the "symbol" that we have "adopted" as evidence of the "intent to authenticate" the "writing" known as an EMO.
"Written" or "writing" includes printing, typewriting or any other intentional reduction to tangible form.
Despite what many Banks and their Employees believe, a check does not have to be printed in a particular way, or with special ink, or on special paper. It is a "check" under US Law if it meets the requirements contained in these regulations, and EMOs meet them all, even when printed out on a computer printer using plain white paper.
"Party", as distinct from "Third Party", means a person who has engaged in a transaction or made an agreement within this Act.
EMOs involve three parties: The Sender, the Company (us), and the Recipient. Since all three wish to complete the transaction, it is valid under law.
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The Following Excerpts are presented here for further understanding of the legal nature of EMOs.
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Uniform Commercial Code, Article 3, Section 3-104
3-104. NEGOTIABLE INSTRUMENT.
* (a) Except as provided in subsections (c) and (d), "negotiable instrument" means an unconditional promise or order to pay a fixed amount of money, with or without interest or other charges described in the promise or order, if it:
* (1) is payable to bearer or to order at the time it is issued or first comes into possession of a holder;
* (2) is payable on demand or at a definite time; and
* (3) does not state any other undertaking or instruction by the person promising or ordering payment to do any act in addition to the payment of money, but the promise or order may contain (i) an undertaking or power to give, maintain, or protect collateral to secure payment, (ii) an authorization or power to the holder to confess judgment or realize on or dispose of collateral, or (iii) a waiver of the benefit of any law intended for the advantage or protection of an obligor.
* (b) "Instrument" means a negotiable instrument.
* (c) An order that meets all of the requirements of subsection (a), except paragraph (1), and otherwise falls within the definition of "check" in subsection (f) is a negotiable instrument and a check.
* (d) A promise or order other than a check is not an instrument if, at the time it is issued or first comes into possession of a holder, it contains a conspicuous statement, however expressed, to the effect that the promise or order is not negotiable or is not an instrument governed by this Article.
* (e) An instrument is a "note" if it is a promise and is a "draft" if it is an order. If an instrument falls within the definition of both "note" and "draft," a person entitled to enforce the instrument may treat it as either.
* (f) "Check" means (i) a draft, other than a documentary draft, payable on demand and drawn on a bank or (ii) a cashier's check or teller's check. An instrument may be a check even though it is described on its face by another term, such as "money order."
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Uniform Commercial Code, Article 3, Section 3-603
3-603. TENDER OF PAYMENT.
(b) If tender of payment of an obligation to pay an
instrument is made to a person entitled to enforce the instrument and the tender is refused, there is discharge, to the extent of the amount of the tender, of the obligation of an indorser or accomodation party having a right of recourse
with respect to the obligation to which the tender relates.
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Additional references:
If they have questions, you may cite the Uniform Commercial Code references as follows: Uniform Commercial Code, Title 1, Section 1-201 [39] and Title 3, Sections 3-104, 3-401 and 3-403; Code of Federal Regulations, Title 12, Chapter II, Part 210; and Regulation J, Federal Reserve Bank, Part 2, Sections 4A-201 to 4A212. Only verbal authorization is required for authorization. Also see Romani v. Harris, 255 Md. 389
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