For an HDC to Take an Instrument "In Good Faith

question 36

Multiple Choice

For an HDC to take an instrument "in good faith," how does the UCC define good faith?

• A)Good faith is not defined;it is left to the judgment of the individual HDC.
• B)Whether the holder himself acted reasonably when taking the instrument.
• C)Using the proper degree of caution that an objective,reasonable holder would have.
• D)Whether the holder himself acted honestly when taking the instrument.
• E)Under reasonable commercial standards of fair dealing.

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Definitions:

Tzeltal

A language belonging to the Mayan family, spoken by the Tzeltal people in Mexico.

General Structure

The overarching organization or framework underlying a system, concept, or physical entity.

Specific Elements

Particular components or aspects of a situation, problem, or system that are distinct and identifiable.

Future Events

Occurrences that have not yet taken place but are considered in the planning, anticipation, or prediction processes.