Exam 27: Kinds of Negotiable Instruments and Negotiability

The person to whom the order in a draft is addressed is known as the:

The drawee on a check can be a bank.

Antedating an instrument affects an instrument's negotiability.

A promissory note that is payable "on the date of my marriage" is nonnegotiable even if the maker of the note marries.

Any of the following constitutes a signature as an element of negotiability,except:

An instrument is order paper when by its terms it is payable to the order of any person described in it,or to a person or order.

Conville signed a note as an officer of the Hughesville Manufacturing Corporation,but she did not name the corporation in the note or indicate that she was acting as an officer for it.Later,she was sued by the Grange National Bank,the holder of the note.She raised the defense that the corporation was liable on the note.Who was liable?

In a negotiable instrument,the promise or order to pay must be unconditional.

The maker is the person who writes out and creates a promissory note.

If an instrument states no time for payment,the note is payable on demand.

Article 2 of the Uniform Commercial Code governs negotiable instruments.

An action taken by a person on behalf of another is called: