Asked by Deneatra Caesar on May 10, 2024

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An ordinary IOU satisfies the "unconditional promise or order to pay" requirement for a negotiable instrument.

Unconditional Promise

A firm commitment or guarantee without any stipulations or requirements for its fulfillment.

  • Understand the requirements for an instrument to be considered negotiable under the UCC.
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AM
Aadit MeenegeMay 13, 2024
Final Answer :
False
Explanation :
The promise or order to pay must be specific and not implied in order for an instrument to be negotiable.The language must be affirmative in nature.For example,simply acknowledging a debt does not create language for payment; therefore,a common IOU is not a promise or order to pay and thus cannot be a negotiable instrument.