Realty Acquisitions borrows $1,000,000 at 4 percent interest from Shady Credit Lenders and signs a promissory note for that amount. Without the borrower's authorization, Shady changes the amount of the note to $1,200,000 and increases the rate to 8 percent. Shady materially altered the note when

Question

Realty Acquisitions borrows $1,000,000 at 4 percent interest from Shady Credit Lenders and signs a promissory note for that amount. Without the borrower's authorization, Shady changes the amount of the note to $1,200,000 and increases the rate to 8 percent. Shady materially altered the note when​

Quizplus · Accepted Answer

Shady materially altered the note by changing both the amount and the interest rate without Realty's authorization. This is a breach of contract and could be considered fraud.

Realty Acquisitions Borrows $1,000,000 at 4 Percent Interest from Shady