A holder in due course rule,where a purchaser of an acceptance,or any negotiable instrument,takes it free from most disputes that may arise between the drawer and drawee and is regulated under the Uniform Customs and Practice for Documentary Credits.

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The holder in due course rule, which allows a purchaser of a negotiable instrument to take it free from most disputes between the original parties, is governed by the Uniform Commercial Code (UCC), not the Uniform Customs and Practice for Documentary Credits (UCP), which primarily deals with letters of credit.

A Holder in Due Course Rule,where a Purchaser of an Acceptance,or