Asked by Maria del Mar Ribas on Jun 04, 2024
Verified
Reed signed and delivered a negotiable promissory note payable to Anne. Anne negotiated the note to Rodrigo. Rodrigo now has the same legal status as an assignee of a contract.
Negotiable Promissory Note
A financial instrument that guarantees the payment of a specified amount of money, either on demand or at a set time, and is transferable to other parties.
Legal Status
Legal Status refers to the standing of an entity or individual within the law, determining their rights, duties, and liabilities.
Assignee
A person or organization that receives rights or interests from another party, referred to as the assignor.
- Differentiate between the roles and obligations of parties involved in negotiable instruments.
Verified Answer
JM
Jasmyne McGeeJun 05, 2024
Final Answer :
False
Explanation :
Rodrigo, as the holder of a negotiable instrument, has rights beyond those of an assignee of a contract, including the right to be paid in the absence of defenses that could be raised against the original payee.
Learning Objectives
- Differentiate between the roles and obligations of parties involved in negotiable instruments.