Asked by thomas suggs on May 07, 2024
Verified
Primary liability does not apply to issuers of cashier's checks.
Primary Liability
The direct responsibility to pay or compensate for a loss or damage, without the necessity to seek contribution from others.
Cashier's Checks
A check guaranteed by a bank, drawn on the bank's own funds and signed by a cashier.
- Distinguish primary from secondary liability within the realm of negotiable instruments.
Verified Answer
KR
Kiera RiveraMay 12, 2024
Final Answer :
False
Explanation :
Primary liability applies to issuers of cashier's checks because when they issue these checks, they are guaranteeing payment to the payee, making them primarily liable.
Learning Objectives
- Distinguish primary from secondary liability within the realm of negotiable instruments.
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