An indorser,whether or not she receives consideration for the instrument,must make five warranties to subsequent transferees of the instrument.The fifth warranty provides that the indorser has no knowledge of the bankruptcy of the maker,acceptor,or drawer.

Question

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The fifth warranty actually states that the indorser has no knowledge of any fact that would impair the validity of the instrument or render it valueless, not specifically about the bankruptcy of the maker, acceptor, or drawer.

An Indorser,whether or Not She Receives Consideration for the Instrument,must