Which of the Following Is True Under the UCC Regarding

question 32

Multiple Choice

Which of the following is true under the UCC regarding checks marked "paid-in-full"?

• A) If a business inadvertently cashes such a check, the business has 30 days from the date it cashed that check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
• B) If a business inadvertently cashes such a check, the business has 60 days from the date it cashed that check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
• C) If a business inadvertently cashes such a check, the business has 90 days from the date it cashed that check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
• D) If a business inadvertently cashes such a check, the business has 120 days from the date it cashed that check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
• E) The business has no recourse, and the debt is deemed discharged and satisfied.

---

Definitions:

Underfund Liability

The shortfall or deficit when the assets of a fund, like a pension, are insufficient to cover the obligations.

Defined Benefit Plan

A type of pension plan where retirement benefits are determined based on a formula, typically involving salary and service years.

Retirement Plan

A financial agreement designed to provide individuals with income during their retirement years.

Benefits Plan

A specific arrangement by an organization that outlines the non-wage compensations available to employees, such as health insurance, retirement contributions, and time off.