If a Person Paying an Instrument Subject to the Impostor

question 70

True/False

If a person paying an instrument subject to the impostor rule fails to exercise ordinary care, the issuer may recover from the payor to the extent the payor's negligence contributed to the loss.

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Definitions:

Communicated

The act of conveying, transmitting, or exchanging information or ideas through various means.

Traditional Contract Rules

The conventional principles and laws applied in the formation, interpretation, and enforcement of contracts.

Internet Transactions

Commercial or financial transactions conducted electronically on the internet.

Acceptance

The act of agreeing to the terms of an offer, thereby forming a contract.