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If Valley Bank Pays a Check Over a Stop Payment

Question 44

Multiple Choice

If Valley Bank pays a check over a stop payment order of one of its customers,Valley Bank is subrogated to the rights of:


A) the drawer against the payee or any other holder.
B) any holder in due course on the item against the drawer.
C) the payee or any other holder against the drawer.
D) All of these are correct.

Correct Answer:

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