Sec. 13. When date may be inserted. - Where an instrument expressed to be payable at a fixed period after date is issued undated, or where the acceptance of an instrument payable at a fixed period after sight is undated, any holder may insert therein the true date of issue or acceptance, and the instrument shall be payable accordingly. The insertion of a wrong date does not avoid the instrument in the hands of a subsequent holder in due course; but as to him, the date so inserted is to be regarded as the true date.
WHEN DATE NECESSARY Under Section 6, the insertion of date is unnecessary
However, it may be necessary to determine the date of maturity
In the following cases, the date is also necessary:
o Where interest is stipulated, to determine when interest is to run, but not to make the instrument negotiable
o To determine where a party has acted within a reasonable time, but not make the instrument negotiable
EFFECT OF INSERTION OF WRONG DATE Knowingly inserting the wrong date in an undated instrument will avoid it as to the party so inserting the wrong date
It is implied that the instrument void as to the person who knowingly inserted the wrong date
Also, under Section 12, it is void for ante-dating an instrument for fraudulent purposes
To a holder in due course, the instrument is not void, after the instrument is indorsed to him. The insertion of the wrong date doesn’t avoid the instrument in the hands of a holder in due course.