What is the effect of Hye agreeing to give Sam a DVD in return for the book?
A)Unless Sam acknowledges in writing that the fair market value of the DVD is equivalent to the value of the book he provided to Hye,there is no enforceable contract nor is the agreement negotiable.
B)Because payment is not in a sum certain for money,Hye and Sam do not have an enforceable contract,but the requirement of negotiability regarding the form of payment has been satisfied.
C)Because payment is not in a sum certain for money,Hye and Sam do not have an enforceable contract nor does the agreement satisfy the negotiability requirement that payment be in a sum certain in money.
D)Hye and Sam have an enforceable contract,but the agreement fails to satisfy the negotiability requirement that payment be in a sum certain in money.
E)Hye and Sam have an enforceable contract,and Hye has also satisfied the negotiability condition regarding the form of payment.

Question

Quizplus · Accepted Answer

A)Negotiable instruments must promise or order that payment be made in a national currency [UCC 3-104a)].For example,U.S.dollars,English pounds,Euros,and Japanese yen all satisfy the currency requirement.While promises to pay in apples or gold or stock may form a perfectly enforceable contract,these are not currencies and the resulting instrument is not a negotiable instrument.

What Is the Effect of Hye Agreeing to Give Sam