The use of the qualifying word(s) __________ is/are understood to place purchasers on notice that they may not rely on the credit of the person using this language.
A) "Insufficient funds"
B) "Accepted"
C) "Certified"
D) "Without recourse"

Question

Quizplus · Accepted Answer

The phrase "without recourse" is used in financial transactions to indicate that the seller or presenter of a negotiable instrument is not assuming liability in the event that the instrument is not honored (e.g., a check is not paid). This means that the purchaser or holder of the instrument cannot seek compensation from the person who used the "without recourse" language if the instrument is dishonored.

The Use of the Qualifying Word(s) __________ Is/are Understood to Place