When an Instrument Fails to Meet the Technical Requirements Necessary

question 15

Multiple Choice

When an instrument fails to meet the technical requirements necessary to qualify as a negotiable instrument, which of the following statements is true?

• A) The instrument is still enforced as a negotiable instrument if it has been transferred to a holder in due course.
• B) The instrument is still enforced as a negotiable instrument if it has been accepted by a bank.
• C) The instrument is still enforced as a negotiable instrument if the holder can establish detrimental reliance based on a reasonable belief that the instrument qualified as a negotiable instrument.
• D) The instrument may qualify as an enforceable contract.
• E) The instrument is null and void and of no use to the holder.

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Definitions:

Emotional Intelligence

The skill to understand, regulate, and articulate personal emotions while dealing thoughtfully and compassionately with others.

Self-Management

The ability to control one’s emotions and act with honesty and integrity in a consistent and acceptable manner.

Honesty and Integrity

The adherence to truthfulness, fairness, and uprightness in actions and principles.

Social Awareness

Having empathy for others and having intuition about work problems.