Sergio Makes a Gift of a Check to Todd Who

question 60

Multiple Choice

Sergio makes a gift of a check to Todd who takes it in good faith and without notice of any claim, defense, or defect. With respect to this check, Todd is

• A) a defective holder.
• B) an assignee.
• C) an ordinary holder.
• D) an ordinary holder in due course.

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Definitions:

Calculus-Based Trust

Trust built on the expectation that others will act predictably based on past interactions.

Reward

A benefit, prize, or compensation given in recognition of one's effort, performance, or service.

Punishment

The imposition of a penalty as retribution for an offense, or as a means of influencing future behavior.

Relationship Negotiations

Negotiation processes that prioritize maintaining and strengthening the relationship between the parties involved.