On January 10,2011,Jonathan writes a check,payable to Josh in the amount of $500.00,drawn on Jonathan's account with MBNA bank.Josh,on the back of the check,writes,"Pay to the order of Brandi" and leaves the check on his night stand.Brandi comes to visit while Josh is not home (she has a key),sees the check,and takes it believing that it was indorsed to her a repayment of a debt.Brandi then signs her name on the back of the check and hands it to Lori as a birthday present.
A) The check has been negotiated to Brandi because it was indorsed to her.
B) The check has been negotiated to Brandi because it was indorsed to her and she truly believed that it was meant for her because of the debt owed.
C) The indorsement Josh put on the check was a blank indorsement.
D) Brandi has no rights to the check because it was not delivered to her.
E) The indorsement is not valid because Jonathan intended the check to go to Josh and never authorized Josh to transfer the check to anyone else.

Question

Quizplus · Accepted Answer

The check was not delivered to Brandi by Josh, so it was not properly negotiated to her. Delivery is a necessary step for negotiation.

On January 10,2011,Jonathan Writes a Check,payable to Josh in the Amount