(810 ILCS 5/3-308) (from Ch. 26, par. 3-308)
Sec. 3-308.
Proof of signatures and status as holder in due
course.
(a) In an action with respect to an instrument, the authenticity of, and
authority to make, each signature on the instrument is admitted unless
specifically denied in the pleadings. If the validity of a signature is
denied in the pleadings, the burden of establishing validity is on the
person claiming validity, but the signature is presumed to be authentic and
authorized unless the action is to enforce the liability of the purported
signer and the signer is dead or incompetent at the time of trial of the
issue of validity of the signature. If an action to enforce the instrument
is brought against a person as the undisclosed principal of a person who
signed the instrument as a party to the instrument, the plaintiff has the
burden of establishing that the defendant is liable on the instrument as a
represented person pursuant to Section 3-402(a).
(b) If the validity of signatures is admitted or proved and there is
compliance with subsection (a), a plaintiff producing the instrument is
entitled to payment if the plaintiff proves entitlement to enforce the
instrument under Section 3-301, unless the defendant proves a defense or
claim in recoupment. If a defense or claim in recoupment is proved, the
right to payment of the plaintiff is subject to the defense or claim, except
to the extent the plaintiff proves that the plaintiff has rights of a
holder in due course which are not subject to the defense or claim.
(Source: P.A. 87-582; 87-1135.)
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