Idina wants to buy a promissory note from Jo. The note is due on April 1. To become an HDC, Idina must buy the note a.m. on April 1
A) before midnight on April 1.
B) before noon on April 1.
C) before 8:00
D) within thirty days of April 1.

Question

Idina wants to buy a promissory note from Jo. The note is due on April 1. To become an HDC, Idina must buy the note​ a.m. on April 1
A) ​before midnight on April 1.
B) ​before noon on April 1.
C) ​before 8:00
D) ​within thirty days of April 1.

Quizplus · Accepted Answer

To become a holder in due course (HDC), the purchaser must buy the note before the due date, which is April 1 in this case. Therefore, option A is the correct answer, as it allows Idina to buy the note on the actual due date but before the stroke of midnight. Option B is too limited, as it only allows Idina to buy the note before noon, which is not necessarily required to become an HDC. Option C is not relevant as it doesn't provide a specific time or date. Option D is also incorrect as it stipulates a time frame long after the due date has passed, which defeats the purpose of being an HDC.

Idina Wants to Buy a Promissory Note from Jo