It is possible for a person who does not qualify as an HDC to acquire the rights and privileges of an HDC.

Name: It is possible for a person who does not qualify as an HDC to acquire the rights and privileges of an HDC.
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Quizplus · Accepted Answer

This is known as the shelter principle, which allows a person who acquires a negotiable instrument from an HDC to also acquire the rights and privileges of an HDC. This applies even if the person themselves do not qualify as an HDC.

It Is Possible for a Person Who Does Not Qualify