Ohio Code § 1303.40

Ohio Code § 1303.40. Reproduced from the official Ohio Revised Code, with a citation summary, verification link, and related provisions.

§ 1303.40.

If a person against whom a claim is asserted proves that that person in good faith

tendered an instrument to the claimant as full satisfaction of the claim, that the

amount of the claim was unliquidated or subject to a bona fide dispute, and that the

claimant obtained payment of the instrument, all the following apply: (A) Unless division (B) of this section applies, the claim is discharged if the person

against whom the claim is asserted proves that the instrument or an accompanying written

communication contained a conspicuous statement to the effect that the instrument

was tendered as full satisfaction of the claim. (B) Subject to division (C) of this section, a claim is not discharged under division

(A) of this section if either of the following applies: (1) The claimant, if an organization, proves both of the following: (a) Within a reasonable time before the person against whom the claim is asserted tendered

the instrument to the claimant, the claimant sent a conspicuous statement to the person

that communications concerning disputed debts, including an instrument tendered as

full satisfaction of a debt, are to be sent to a designated person, office, or place. (b) The instrument or accompanying communication was not received by that designated

person, office, or place. (2) The claimant, whether or not an organization, proves that within ninety days after

payment of the instrument, the claimant tendered repayment of the amount of the instrument

to the person against whom the claim is asserted.  Division (B)(2) of this section does not apply if the claimant is an organization

that sent a statement complying with division (B)(1) of this section. (C) A claim is discharged if the person against whom the claim is asserted proves that

within a reasonable time before collection of the instrument was initiated, the claimant,

or an agent of the claimant having direct responsibility with respect to the disputed

obligation, knew that the instrument was tendered in full satisfaction of the claim.

Source: official Ohio text · Last verified 2026-08-27

At a glance

  • Citation: Ohio Revised Code § 1303.40
  • Jurisdiction: Ohio
  • Code: Ohio Revised Code
  • Text: transcribed from the official source (verify below)

Verify the text

Statute text is transcribed from the official Ohio Revised Code. Confirm it against the primary source before relying on it:

Not legal advice. Verify against the official source and consult a licensed Ohio attorney.

Common questions

What is the source of Ohio Revised Code § 1303.40?

The text above is transcribed from the Ohio Revised Code, the codified statutes of Ohio. The official publisher link appears under "Verify the text" on this page.

What subject does Ohio Revised Code § 1303.40 address?

It addresses the rule set out in the section text. Read the section together with the surrounding provisions listed under "Nearby provisions" for the full picture.

Is Ohio Revised Code § 1303.40 still in force?

Statutes are amended, repealed, and renumbered every session. Confirm the current version at the official Ohio source before relying on this text.

Can this page be used as legal advice?

No. This is a reference transcription for research. Applying Ohio law to your facts requires a licensed Ohio attorney who can review the specifics.