Delivery of a negotiable instrument in payment
A)is only a conditional discharge.
B)is an acceptance.
C)is a guarantee of payment.
D)completely discharges the debt.
E)indemnifies the payor.

Question

Quizplus · Accepted Answer

Delivery of a negotiable instrument in payment is only a conditional discharge, meaning that the debt is discharged only if and when the instrument is honored. The creditor still holds the right to repossess the goods or seek further payment if the instrument is dishonored.

Delivery of a Negotiable Instrument in Payment