A Payee May Be a Holder in Due Course Under

question 24

True/False

A payee may be a holder in due course under the Code.

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Definitions:

Traveler's Check

A preprinted, fixed-amount check designed to allow the person signing it to make an unconditional payment to someone else as a result of the payee's acceptance.

Countersignature

An additional signature required on a document, serving as a verification or approval of the primary signature.

Designated Date

A Designated Date is a specific date set for a particular event or action to take place.

Stop Payment Order

A request made to a bank by an account holder not to pay or cancel payment on a check or pre-authorized electronic payment that has not yet been processed.