An Accommodation Party on a Negotiable Instrument

question 37

Multiple Choice

An accommodation party on a negotiable instrument

• A)typically receives a direct benefit from the instrument.
• B)is always primarily liable for the instrument.
• C)is the same as a "guarantor" under the UCC.
• D)has the same liability to a holder as the person for whom he signed.

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Definitions:

Historical Significance

The importance of an event, person, or invention in history and its lasting impact on the future.

Gibbons V. Ogden

A landmark Supreme Court case in 1824 that clarified the federal government's power over interstate commerce, ruling in favor of a broad interpretation of the U.S. Constitution's Commerce Clause.

Commerce Clause

A provision in the United States Constitution granting Congress the power to regulate commerce with foreign nations, among the several states, and with Native American tribes.