Asked by Chloe Cluchey on May 29, 2024
Verified
If a check is made "payable to the order of Marcus or Nathan," both parties' indorsements are necessary for negotiation.
Indorsements
Written approvals or endorsements on documents, especially checks or promissory notes, to signify agreement, consent, or transfer.
Payable
Refers to debts or financial obligations that an entity is required to pay within a specific period, such as bills or invoices.
Negotiation
Negotiation is the process whereby interested parties discuss, deliberate, and come to an agreement on terms and conditions that are mutually acceptable.
- Understand the basic requirements for the negotiation of checks and other negotiable instruments.
- Identify the roles and responsibilities of the parties involved in the issuance, transfer, and payment of negotiable instruments.
Verified Answer
ZK
Zybrea KnightJun 02, 2024
Final Answer :
False
Explanation :
When a check is made payable to "Marcus or Nathan," it means that either party can endorse and negotiate the check independently without the need for both parties' endorsements.
Learning Objectives
- Understand the basic requirements for the negotiation of checks and other negotiable instruments.
- Identify the roles and responsibilities of the parties involved in the issuance, transfer, and payment of negotiable instruments.