Liam, who is authorized to draw checks on Manufacturing Company's account, signs a check preprinted with the company's name with a signature that reads simply, "Liam." On this check, Liam is
A)proportionately liable.
B)primarily liable.
C)secondarily liable.
D)not liable.

Question

Quizplus · Accepted Answer

Liam is primarily liable because as the person who signed the check, he is the primary party responsible for the payment. In the context of negotiable instruments, the signer of a check is the party primarily liable to the payee or holder.

Liam, Who Is Authorized to Draw Checks on Manufacturing Company's