Mod 29 Wrong Answers

Question 1

The best way to perfect s security interest in a negotiable instrument is to take possession of the instrument. This is true because…

Answer 1

Negotiable instruments are easily negotiated to other holders who
can become holders in due course

Question 2

Perfecting by attachment, requires…

Answer 2

Money security interest in consumer goods

Question 3

Upon the debtor’s default, the secured party may…

Answer 3

Take possession of the collateral and sell it

Question 4

A good faith purchaser for value buys the collateral…

Answer 4

Free of any liens or security interests

Question 5

In general, the best way to perfect a security interest in a negotiable instrument is to…

Answer 5

The possession of the instrument