Asked by Fatima Santos on Jun 05, 2024
Verified
In the case in the text,In re Sia,the court held that:
A) the inclusion of the notice provision was burdensome and destroyed the negotiability of the note.
B) the challenged clauses were not additional undertakings,and the note was negotiable.
C) the inclusion of the conditional payment clause did not constitute a "fixed amount of money" and rendered the document nonnegotiable.
D) the challenged clauses were additional undertakings,and the clauses destroyed the negotiability of the note.
Negotiable Note
A financial instrument that promises payment of a specific amount of money, either on demand or at a future date, and is transferable by endorsement.
Notice Provision
A clause in a contract that outlines the methods and timing required for giving formal notifications or communications between parties.
- Examine the influence of particular stipulations or terms on the negotiability of an instrument.
Verified Answer
KG
khaled gamalJun 10, 2024
Final Answer :
B
Explanation :
In this case,the court rejected the contention that several clauses in a promissory note and accompanying mortgage were additional undertakings that vitiated the negotiability of the note.
Learning Objectives
- Examine the influence of particular stipulations or terms on the negotiability of an instrument.