4.Bryson issues a $5,000 negotiable check "payable to the order of Yolanda or cash." Yolanda places her signature on the back of the check. Yolanda then negotiates the check to Casey. Given these facts, which of the following is generally correct? а. The check was issued as a bearer instrument and Yolanda could not have converted it into an order instrument. b. Yolanda's indorsement on the instrument is not required in order for Casey to qualify or assert that he is a holder in due course. С. Yolanda's indorsement on the instrument is generally referred to as a special indorsement. d. Yolanda's indorsement on the instrument is required in order for Casey to qualify or assert that he is a holder in due course.

icon
Related questions
Question
4.Bryson issues a $5,000 negotiable check
"payable to the order of Yolanda or cash."
Yolanda places her signature on the back of the
check. Yolanda then negotiates the check to
Casey. Given these facts, which of the following is
generally correct?
а.
The check was issued as a bearer instrument and
Yolanda could not have converted it into an order
instrument.
b.
Yolanda's indorsement on the instrument is not
required in order for Casey to qualify or assert that
he is a holder in due course.
С.
Yolanda's indorsement on the instrument is
generally referred to as a special indorsement.
d.
Yolanda's indorsement on the instrument is
required in order for Casey to qualify or assert that
he is a holder in due course.
Transcribed Image Text:4.Bryson issues a $5,000 negotiable check "payable to the order of Yolanda or cash." Yolanda places her signature on the back of the check. Yolanda then negotiates the check to Casey. Given these facts, which of the following is generally correct? а. The check was issued as a bearer instrument and Yolanda could not have converted it into an order instrument. b. Yolanda's indorsement on the instrument is not required in order for Casey to qualify or assert that he is a holder in due course. С. Yolanda's indorsement on the instrument is generally referred to as a special indorsement. d. Yolanda's indorsement on the instrument is required in order for Casey to qualify or assert that he is a holder in due course.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer