Exam 28: Kinds of Instruments, parties, and Negotiability

An unconditional written promise made by one person to another,signed by the maker,that promises to pay on demand a specific sum of money to the bearer is a:

A promissory note that is payable "on the date of my marriage" is nonnegotiable even if the maker of the note marries.

The payee has no rights in an instrument until the drawer or the maker has delivered it to the payee.

Antedating an instrument affects an instrument's negotiability.

Action taken by one on behalf of another is:

An instrument is conditional if:

The party who writes or creates a promissory note is called the:

If an instrument states no time for payment,the note is payable on demand.

A payee has no rights in an instrument until:

A nonnegotiable instrument's terms are not enforceable.

The drawee on a check is a bank.

If instrument is negotiable,it can be:

The person on whom the order to pay a draft is made is called a drawer.

Instruments are transferable,written,signed promises or orders to pay a specified sum of money.

A check that is postdated ceases to be order paper.

The maker is the person who writes out and creates a promissory note.

A(n)__________ instrument's terms are enforceable,but the instrument is treated simply as a contract governed by contract law.

If an order or promise is not for money,the instrument is not negotiable.

When ambiguous language exists:

A negotiable instrument may be partly printed and partly typewritten.