(810 ILCS 5/3-304)
(from Ch. 26, par. 3-304)
(a) An instrument payable on demand becomes overdue at the earliest of
the following times:
(1) on the day after the day demand for payment is
(2) if the instrument is a check, 90 days after its
(3) if the instrument is not a check, when the
instrument has been outstanding for a period of time after its date which is unreasonably long under the circumstances of the particular case in light of the nature of the instrument and usage of the trade.
(b) With respect to an instrument payable at a definite time the
following rules apply:
(1) If the principal is payable in installments and a
due date has not been accelerated, the instrument becomes overdue upon default under the instrument for nonpayment of an installment, and the instrument remains overdue until the default is cured.
(2) If the principal is not payable in installments
and the due date has not been accelerated, the instrument becomes overdue on the day after the due date.
(3) If a due date with respect to principal has been
accelerated, the instrument becomes overdue on the day after the accelerated due date.
(c) Unless the due date of principal has been accelerated, an instrument
does not become overdue if there is default in payment of interest but no
default in payment of principal.
(Source: P.A. 87-582; 87-1135.)