On behalf of Digital Cable Company, Ed signs an instrument in which he promises to deliver 1,000 feet of optic fiber cable to First Internet Bank on March 1. This instrument is
A) negotiable.
B) nonnegotiable, because cable is not a medium of exchange author?ized or adopted by a government as currency.
C) nonnegotiable, because it does not indicate a specific type of cable.
D) nonnegotiable, because it does not recite any consideration.

Question

Quizplus · Accepted Answer

The instrument is nonnegotiable because it involves the delivery of goods (optic fiber cable) rather than a promise to pay a fixed amount of money, which is required for negotiability under the Uniform Commercial Code (UCC).

On Behalf of Digital Cable Company, Ed Signs an Instrument