Asked by Mikaela Forcum on Jul 07, 2024
Verified
Revised Article 3 of the UCC provides that the drawer of a cashier's check has the same obligation as the issuer of a note.
Revised Article 3
An update to a section of the Uniform Commercial Code that deals with negotiable instruments, including changes to laws governing checks and promissory notes.
Drawer
In banking, the party that writes or issues a check. In a broader contract or legal sense, it can refer to the person who drafts or creates a document.
Cashier's Check
A check issued by a bank, drawn on its own funds rather than that of the purchaser, guaranteeing payment to the payee.
- Understand the role and obligations of the acceptor or drawee in a negotiable instrument.
Verified Answer
AM
Aaron McFallJul 09, 2024
Final Answer :
True
Explanation :
Revised Article 3 of the UCC provides that the drawer of a cashier's check has the same obligation as the maker or issuer of a note.
Learning Objectives
- Understand the role and obligations of the acceptor or drawee in a negotiable instrument.