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Assume instruments which are otherwise negotiable contain the provisions stated or described below. In each instance: 1) tell whether negotiability is affected by the provision
Assume instruments which are otherwise negotiable contain the provisions stated or described below. In each instance: 1) tell whether negotiability is affected by the provision 2) Give reasons or explanations to support of your answers. A. I promise to pay John Doe or his assigns $30,000 by monthly delivering cabinets valued at $2,000 for a period of 12 months and $6,000 cash at the end of this period." B. A check in the amount of $100 has typed above the preprinted name of the bank the words THIS INSTRUMENT IS NON-NEGOTIABLE." B1. A note in the amount of $10,000 has the same language printed on its face. C. The recital required by the FTC rule (concerning preservation of claims and defenses of the issuer) is not placed on a note used in a consumer transaction. D. The payee line on the front of a preprinted check has the words "order of lined through so that the check reads "Pay to Alex Abel. Additionally, the words Not valid after 90 days are stamped on the front of the check. E. "I promise to pay to the order of Alpine, Inc. at Zurich, Switzerland 10,000 francs, with interest, on April 1, 2000, interest to be determined by reference to the prime rate charged by New York banks on March 23, 2000." F. This note is payable on February 1, 2000, from the proceeds of the sale of ABC Company, Inc. stock which I promise to sell by that date. Should the stock not be sold by that date, the holder hereby grants an extension until July 1, 2000
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