If an instrument fails to qualify as a negotiable instrument,it means the instrument fails to be an enforceable contract.

Question

Quizplus · Accepted Answer

While negotiability is an important characteristic of enforceable contracts, it is not the only factor that determines enforceability. Other factors such as mutual assent, consideration, and capacity must also be present. Therefore, a failure to qualify as a negotiable instrument does not necessarily mean that the instrument is not an enforceable contract.

If an Instrument Fails to Qualify as a Negotiable Instrument,it