The Term Mad Money Refers to Money Set Aside When

question 19

True/False

The term mad money refers to money set aside when a state's finances are healthy, for use when state revenues decline.

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Definitions:

HDCs

Stands for Holders in Due Course, referring to parties holding a negotiable instrument free from certain defenses and claims.

Drawer

In banking, the person who writes or creates a check. In the context of furniture, it is a sliding storage compartment.

Universal Defense

A defense that is valid against all holders of a negotiable instrument, including holders in due course (HDCs) and holders with the rights of HDCs. Universal defenses are also called real defenses.

Personal Defense

Legal defenses that a defendant may use in a court of law to challenge the validity of a claim based on personal circumstances or conditions.