Holder in Due Course Flashcards
1
Q
To become a holder in due course the holder must take note without notice
A
1) that the instrument is overdue
2) has been dishonored
3) any person has a defense or claim to it
2
Q
An executory promise
A
does not satisfy the value requirement of Holder in due course until the promise is actually performed
3
Q
Taking satisfaction of previous debt
A
constitutes value of being a HDC
4
Q
A check for less value than the negotiable note
A
does not violate value requirements
5
Q
An antecedent debt
A
constitutes value whether the debtor was a relative or not. valid under negotiable instruments law
