If an instrument fails to qualify as a negotiable instrument,which of the following statements is true?
A)The instrument by definition is a good contract only if it is made out in an amount more than $1,000.
B)The instrument by definition is a good contract only if it is made out in an amount less than $1,000.
C)The instrument by definition is a good contract.
D)Failure to qualify as a negotiable instrument does not mean the instrument fails to be a good contract.
E)The instrument by definition fails to be a good contract.

Question

Quizplus · Accepted Answer

A)If an instrument fails to qualify as a negotiable instrument,that does not mean it
fails to be a perfectly good and enforceable contract.All it means is that the special rules regarding negotiable instruments do not apply.
B)If an instrument fails to qualify as a negotiable instrument,that does not mean it fails to be a perfectly good and enforceable contract.All it means is that the special rules regarding negotiable instruments do not apply.
C)If an instrument fails to qualify as a negotiable instrument,that does not mean it fails to be a perfectly good and enforceable contract.All it means is that the special rules regarding negotiable instruments do not apply.
D)If an instrument fails to qualify as a negotiable instrument,that does not mean it fails to be a perfectly good and enforceable contract.All it means is that the special rules regarding negotiable instruments do not apply.
E)If an instrument fails to qualify as a negotiable instrument,that does not mean it fails to be a perfectly good and enforceable contract.All it means is that the special rules regarding negotiable instruments do not apply.

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