Asked by Kayli Cooper on Jun 15, 2024

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The purpose of holder-in-due-course status is to protect a financial intermediary.

Financial Intermediary

is an institution that acts as the middleman between investors and firms, facilitating investments and financial transactions.

Holder-in-due-course Status

A legal status that provides a holder of a negotiable instrument certain rights, free from many defenses and claims that could be asserted against the original party.

  • Acquire insights on the concept of holder in due course and its pivotal importance in the framework of negotiable instruments law.
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Nithursha AllanJun 17, 2024
Final Answer :
True
Explanation :
The purpose of holder-in-due-course status is to protect a financial intermediary,which is the party who processes a payment.