Makers of promissory notes and certificates of deposit have ________ liability for the instruments.
A) conditional
B) stipulated
C) primary
D) secondary
E) tertiary

Question

Quizplus · Accepted Answer

Makers of promissory notes and certificates of deposit have primary liability for the instruments. This means that they are legally obligated to pay back the amount specified on the instrument. Secondary liability usually applies to endorsers or guarantors who are only liable if the maker fails to pay. Therefore, options A, B, D, and E are not correct.

Makers of Promissory Notes and Certificates of Deposit Have ________