GR8 Products,Inc.,warrants its goods to be free of defects. Heck issues an instrument to obtain goods from GR8 that prove defective. With respect to payment on the instrument,Heck
A)is liable only to a subsequent holder of the instrument.
B)has a universal defense against it.
C)has a personal defense against it.
D)cannot avoid it.

Question

Quizplus · Accepted Answer

Heck has a personal defense against the instrument because the warranty was given by GR8 Products, Inc. and not by Heck himself. The warranty does not transfer to the instrument, so Heck can raise the defense that the goods were defective and therefore he should not be obligated to pay.