Which of the following will destroy negotiability?
A) Antedating a check
B) Making the right to payment subject to the terms of another agreement
C) Marking a check payable only out of the proceeds of a particular sale
D) Writing a check on notebook paper

Question

Quizplus · Accepted Answer

Making the right to payment subject to the terms of another agreement destroys negotiability because it imposes a condition on the payment, which is contrary to the requirement for negotiability that the promise or order to pay be unconditional.

Which of the Following Will Destroy Negotiability