Which of the following is true about an allonge?
A) It must contain the name of a payee to be valid.
B) It must be accepted by the payee to be valid.
C) It must be affixed to the indorsement.
D) It must be provided only on demand.

Question

Quizplus · Accepted Answer

An allonge is a piece of paper attached to a negotiable instrument, such as a bill of exchange, to provide space for an endorsement when there is no room on the original document. It must be firmly attached to the document it relates to, ensuring it is considered a part of the original document for the endorsement to be valid. The other options are not requirements for an allonge's validity.

Which of the Following Is True About an Allonge