Fraud in executing an instrument is a real or absolute defense, but fraud related to the circumstances surrounding the issuing of a paper and not to the paper itself is a personal defense.

Question

Quizplus · Accepted Answer

Fraud in executing an instrument is a defense that makes the instrument void from its inception, while fraud related to the circumstances surrounding the issuing of a paper may only affect the rights of the parties involved but not the validity of the document itself. Therefore, the former is a real or absolute defense, while the latter is a personal defense.

Fraud in Executing an Instrument Is a Real or Absolute