Can the Payee of a Negotiable Instrument Be a Holder

question 69

Multiple Choice

Can the payee of a negotiable instrument be a holder in due course?

• A) yes, the payee is always a holder in due course
• B) yes, for notes but not for drafts
• C) no, not under any circumstances
• D) usually not, because the payee is usually aware of defenses or irregularities
• E) only if a check is involved

---

Definitions:

Self-Centered

Characterized by being preoccupied with oneself and one's own needs, often at the expense of considering others'.

Bad News

Information that is unwelcome, disappointing, or distressing to the recipient.

Positive Emphasis

The practice of focusing on positive aspects or outcomes in communication to foster a favorable perception or response.

Bad-News Placement

A communication strategy in which unfavorable news or information is positioned within a message in a way that aims to minimize negative impact or perception.