Lily drew a check on First Bank payable to Shelley. Lily signed the check in the normal place at the bottom, right side of the check. Glenn signed the check at the bottom left of the front of the check. In what capacity will the Code interpret Glenn to have signed? Will Glenn be able to introduce parol evidence to establish his intent?
Customarily, indorsements are made on the back of the instrument, starting at the top of the trailing or left edge of the check. Occasionally a signature may appear on an instrument in such a way that it is impossible to tell with certainty the nature of the liability the signer intended to undertake. In such a case, the UCC specifies that the signer is to be treated as an indorser. A person who signs in an ambiguous capacity may not introduce parol evidence to establish that he intended to be something other than an indorser.
You might also like to view...
In American Needle Inc. v. National Football League, the NFL had entered into an agreement with Reebok for the manufacture of all of its teams' official goods, claiming that all 32 teams were a single entity. American Needle sued on the grounds that the Reebok agreement was an illegal conspiracy under the Sherman Act. The U.S. Supreme Court held that
A. there was no Sherman Act violation. B. the 32 teams were a collective unit and not subject to the Sherman Act. C. the 32 teams were not a collective unit but were exempt from the Sherman Act because of the economic environment of sports. D. the 32 teams were not a collective unit and were subject to the Sherman Act.
[APPENDIX] Which of the following statements regarding partnerships is true?
a. Partnerships have two owners. b. The partnership ends when a new partner is added. c. The partnership is responsible for its own taxes. d. The partnership is a separate legal entity from its owners.
The probability of incurring bankruptcy increases as a firm's debt/equity ratio decreases.
Answer the following statement true (T) or false (F)
The downside of CIDs is that cities and towns often hold developers liable for the failure of their projects
Indicate whether the statement is true or false