The Fictitious Payee Rule States That If an Imposter Forges

question 32

True/False

The fictitious payee rule states that if an imposter forges the indorsement of the named payee,the drawer or maker is liable on the instrument to any person who,in good faith,pays the instrument or takes it for value or for collection.

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Definitions:

Internalization

The process by which individuals incorporate external standards or behaviors into their own belief and value system.

Reciprocal Alliances

Partnerships or agreements between parties that involve mutual benefits or exchanges.

Informal Systems

Unofficial methods and processes that develop within an organization, allowing it to function smoothly outside of formal structures.

Political Savvy

Political savvy is knowing how to negotiate, persuade, and deal with people regarding goals they will accept.