Asked by Rafaiel Ghazaryan on May 08, 2024
Verified
Was the check properly delivered to Brad?
A) Yes, because it was bearer paper, delivery occurred whenever possession was taken.
B) Yes, because it was order paper, delivery occurred whenever possession was taken.
C) Yes, but only because it was thereafter presented to the bank and cashed.
D) Yes, because both Brad and the bank are considered holders in due course.
E) No, because he was not intended to receive it.
Properly Delivered
Pertains to goods or documents being conveyed to the correct recipient in good condition and within the agreed timeframe.
Bearer Paper
A negotiable instrument that is payable to whoever holds the document; the physical possession of the document is the only requirement for entitlement to payment.
- Comprehend the effects of modifications and inaccuracies on the validity and negotiability of negotiable instruments.
Verified Answer
MZ
Melissa Z. DunnMay 14, 2024
Final Answer :
E
Explanation :
The check was not properly delivered to Brad because it was intended for Learn-A-Lot University, not for Brad. The fact that Brad found and cashed the check does not constitute proper delivery as he was not the intended recipient.
Learning Objectives
- Comprehend the effects of modifications and inaccuracies on the validity and negotiability of negotiable instruments.