Revised UCC Article 3 refers to drawers, indorsers, and accommodation parties as "secondary obligors."

Name: Revised UCC Article 3 refers to drawers, indorsers, and accommodation parties as "secondary obligors."
Brand: Quizplus
Rating: 4.7 (36 reviews)

Question

Quizplus · Accepted Answer

The revised UCC Article 3 does refer to drawers, indorsers, and accommodation parties as "secondary obligors." This is because their obligation to pay the instrument is secondary to that of the primary obligor, who is usually the maker or the acceptor of the instrument.

Revised UCC Article 3 Refers to Drawers, Indorsers, and Accommodation