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"Education is the most powerful weapon which you can use to change the world”
– Nelson Mandela

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Chapter 27 2 Liability & Discharge

Chapter 27 2 Liability & Discharge

Q Read and answer Question 27-2 on p 514. (Student has not send book details: so cannot provide exact question.)

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Kennedy can be held liable Frazier. However, there has to be a claim made by Frazier that the status of a holder in due course is being enjoyed by Frazier. The rules of the Negotiable Instrument Act will be applicable in this situation. This is because there has to be the negotiable instrument endorsed by the endorser. The name of the endorser also has to be signed on the negotiable instrument. There has to be specific words like “without recourse” added to the signed negotiable instrument by the holder.