A holder for value and in good faith with no knowledge of dishonor, defenses, or claims, or that paper is overdue is known as a .
A)holder in presentment
B)holder in due course
C)holder in good faith
D)holder in liability

Question

Quizplus · Accepted Answer

A holder in due course is a legal term referring to a person who has acquired a negotiable instrument in good faith and for value, and thus has certain protections against claims and defenses that could be raised against the original party. This status allows the holder to be insulated from various defenses that could impair the right to enforce the instrument, provided they were not aware of any problems (such as dishonor, defenses, or claims) at the time of acquisition.

A Holder for Value and in Good Faith with No