Kris Transfers a Note, on Which Liu Is the Maker

question 53

Multiple Choice

Kris transfers a note, on which Liu is the maker, to Mia, who takes it for value and in good faith. Mia knows that Kris breached the contract underlying the note, giving Liu a defense against payment. With respect to this note, Mia is

• A) a knowledgeable holder in due course.
• B) an ordinary holder.
• C) an ordinary holder in due course.
• D) a knowledgeable acceptor.

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Definitions:

Birds of Passage

Immigrants who moved to America during the late 19th and early 20th centuries intending to work and eventually return to their home countries.

Temporarily

For a limited time period; not permanent.

Progressives

Individuals or a movement advocating for reform and improvements in societal issues like social welfare, workers' rights, and reducing corruption, prominent in the late 19th and early 20th centuries.

Liberty

Living in a community without the burden of authoritarian impositions on one's way of living, actions, or political ideologies.