Grace signs an instrument payable to the order of Hillside Credit Union "on or before" June 15. This instrument is
A) negotiable.
B) nonnegotiable, because the maker can move up the payment date.
C) nonnegotiable, because moving up the payment date is optional.
D) nonnegotiable, because the exact payment date cannot be deter?mined from the face of the instrument.

Question

Quizplus · Accepted Answer

The instrument is negotiable because it is payable to the order of Hillside Credit Union and contains an unconditional promise to pay a fixed amount of money on or before a specific date. The fact that the payment date is specific and indicated as "on or before" does not make it non-negotiable.

Grace Signs an Instrument Payable to the Order of Hillside