N.Y. Uniform Commercial Code Law § 3-409: Draft Not an Assignment

Section 3--409. Draft Not an Assignment.

(1) A check or other draft does not of itself operate as an assignment

of any funds in the hands of the drawee available for its payment, and

the drawee is not liable on the instrument until he accepts it.

(2) Nothing in this section shall affect any liability in contract,

tort or otherwise arising from any letter of credit or other obligation

or representation which is not an acceptance.