Asked by Azriel Gamez on Jun 03, 2024
Verified
Presentment for payment is one step necessary to charge an indorser with the obligation to pay.
Presentment For Payment
The act of formally presenting a financial instrument, such as a check or draft, for payment to the party responsible.
Charge An Indorser
The act of seeking payment from the endorser of a negotiable instrument when the primary party responsible for payment defaults or fails to pay.
- Comprehend the process and requirements for the presentment of negotiable instruments.
Verified Answer
ZK
Zybrea KnightJun 03, 2024
Final Answer :
True
Explanation :
Presentment for payment is a crucial step in holding an indorser obligated for the payment of the check. It means that the person who is presenting the check must demand the payment from the bank or the person whose signature appears on the check. If the demand is not made, the indorser cannot be held liable for the payment.
Learning Objectives
- Comprehend the process and requirements for the presentment of negotiable instruments.