Presentment warranties

Question 1

Presentment is

Answer 1

A demand for payment to a maker or drawee by the person entitled to enforce the instrument

Question 2

Presentment is excused when

Answer 2

1. The presenter cannot

Question 3

What are the 4 presentment warranties ?

Answer 3

1. The warrantor is a person entitled to enforce the instrument
2. The draft has not been altered
3. The warrantor has no knowledge that the drawer’s signature is unauthorized.
4. With respect to any remotely created consumer item, the person on whose account the item is drawn has authorized the issuance of the item in the amount in which the item is draw

Question 4

The breach of a presentment warranty allows

Answer 4

A payor bank to sue upstream for breach of warranties