Bamidele drafted a negotiable instrument and delivered it to Beta Inc in payment of a debt.That instrument contains an acceleration clause.This means that
A) an enforceable obligation was created between the payee and the institution from whom payment is to be made.
B) the payee must present the instrument to a third party before a certain date.
C) the instrument will be worth one amount on or before a certain date, and a different amount after that same date.
D) although the person who drafted the instrument intended to make payment in instalments, the payee may be entitled to demand the full amount in one payment if the acceleration clause condition is met.
E) the instrument must be a bill of exchange.
Correct Answer:
Verified
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