Moore issues a negotiable promissory note payable to the order of Parish for the amount of $3,000. Parish raises the amount to $13,000 and negotiates it to Holton for $12,000.
(a) If Holton is a holder in due course, how much can she recover from Moore? How much from Parish? If Moore’s negligence substantially contributed to the making of the alteration, how much can Holton recover from Moore and Parish, respectively?
(b) If Holton is not a holder in due course, how much can she recover from Moore? How much from Parish? If Moore’s negligence substantially contributed to the making of the alteration, how much can Holton recover from Moore and Parish, respectively?