Even though an unperformed promise qualifies as consideration,it does not meet the value requirement for qualifying as a holder in due course.

Question

Quizplus · Accepted Answer

An unperformed promise can be considered as consideration, but it does not meet the value requirement for qualifying as a holder in due course. To qualify as a holder in due course, one must give value for the negotiable instrument, and an unperformed promise is not considered as a valuable consideration.

Even Though an Unperformed Promise Qualifies as Consideration,it Does Not