Susan Purchased a Refrigerator from ABC Appliance Store for $800

Multiple Choice

Susan purchased a refrigerator from ABC Appliance store for $800.She takes the refrigerator home and discovers that it is defective.She calls ABC Appliance store and tells them that she would like to return the refrigerator.ABC Appliance store tells her that they have assigned the promissory note she provided the store in order to purchase the refrigerator to a finance company and that the finance company,as a holder in due course,is not subject to defenses.Which of the following is true regarding the rights of parties?

A) The finance company is subject to the defenses of Susan because of the Federal Trade Commission rule created to protect consumers.
B) ABC Appliance store is correct in that Susan cannot assert her defenses against the finance company.
C) Susan can assert her defenses against the finance company only if she can prove that the finance company had knowledge that ABC Appliance store sold defective equipment from time to time.
D) Susan can assert her defenses against the finance company only because she gave notice of the problem within 5 days of the sale.
E) Susan can assert her defenses against the finance company only if she agrees to arbitrate the dispute.