Drawers of checks and drafts and unqualified indorsers are secondarily liable on negotiable instruments.

Question

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According to the Uniform Commercial Code (UCC), drawers of checks and drafts and unqualified indorsers are considered secondarily liable on negotiable instruments. This means that if the primary party (such as the maker or drawer) fails to pay or fulfill their obligations under the instrument, the secondary parties may be held liable for the amount due.

Drawers of Checks and Drafts and Unqualified Indorsers Are Secondarily