Multiple Choice
Which of the following is true of warranty liability as it affects negotiable instruments?
A) Warranty liability applies to any persons who transfer an instrument and receive consideration.
B) A drawee who accepts an instrument in good faith receives a presentment warranty from the person obtaining acceptance that the draft has not been altered.
C) A drawee of an unaccepted draft who pays in good faith receives a presentment warranty from the person obtaining payment and from all prior transferors of the draft.
D) All of these.
Correct Answer:
Verified
Correct Answer:
Verified
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