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All of the Following Are Correct Concerning Stop Payment Orders

Question 24

Multiple Choice

All of the following are correct concerning stop payment orders, except: ______.


A) a stop payment order may be issued if a payee has failed to perform under a contract.
B) a stop payment order does not prevent a holder in due course from demanding payment.
C) a stop payment order is invalid for some forms of checks.
D) a stop payment order must be in writing to be effective.

Correct Answer:

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