Question
1. On January 1, 2021, M wrote a complete promissory note payable to the order of P with the amount of P10,000. M left it
1. On January 1, 2021, M wrote a complete promissory note payable to the order of P with the amount of P10,000. M left it on his table. P saw it and obtained the promissory note. P generally endorsed and delivered the note to A who subsequently generally endorsed and delivered the note B, a holder in due course. * Which of the following statements is correct?
a. The instruments not negotiable because of the absence of delivery
b. B cannot collect from M because there is no delivery
c. B cannot collect anything from M because forgery is a real defense
d. B can collect P10,000 from M because absence of delivery is merely a personal defense which cannot be set up against a holder in due course
2. Which of the following instruments is still negotiable despite the additional provision thereof?
a. I promise to pay P or order P50,000 or to paint his house at the option of the holder.
b. I promise to pay the bearer P50,000 and all the taxes that may be assessed on the mortgage securing this note.
c. I promise to pay the bearer P50,000 and to give him a gold ring.
d. I promise to pay P or order P50,000 and to insure the movable pledged to secure the note.
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