Quincy draws a check payable to "Replay Stadium" to buy two season tickets to the next year's State College football games.This instrument is
A)a bearer instrument.
B)an order instrument.
C)valid but nonnegotiable.
D)void.

Question

Quizplus · Accepted Answer

The check made out to "Replay Stadium" is an order instrument because it directs the bank to pay the designated payee, Replay Stadium. A bearer instrument would be made payable to the holder, while a non-negotiable instrument would have a restriction on its transferability. The check is valid as long as Quincy has sufficient funds in their account, and it is not void.

Quincy Draws a Check Payable to "Replay Stadium" to Buy