Asked by Corey Hugenberg on Apr 25, 2024

A demand negotiable note for $500 issued by Sabin and given to Norm is altered to read $5,000 and subsequently presented for payment by Bridget,a holder in due course.Discuss the case.

Demand Negotiable Note

A written, unconditional promise to pay a certain amount of money upon demand to the bearer or at a specified time.

Altered to Read

The modification or editing of text or documents such that the content is changed to convey a different message or information.

Holder in Due Course

A holder in due course is a party in possession of a negotiable instrument, such as a check, who has taken it under certain conditions, protecting them from prior claims and defenses.

  • Implement the principles of deceit and modification in transferable documents and analyze their effects on the privileges of bona fide holders.
  • Examine the legal consequences of modifying negotiable instruments and explore the available defenses.