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Distinguish between a holder, a holder for value and a holder in due course.

      

Distinguish between a holder, a holder for value and a holder in due course.

  

Answers


Ruth
A holder is the payee or endorsee of a bill who is in possession of it or the bearer of a
bearer bill. Thus a person who takes an order bill bearing a forged endorsement is not
a holder, since he is neither the endorsee of it nor the bearer whereas
A holder for value is the holder of a bill for which value has been given. He/she can enforce the bill against all parties prior to the giving of such value.
Holder in due course. Where a person is a holder in due course, he/she is in a paramount position. He/she holds the bill free from all defects and can enforce payment against all parties liable on the bill. He/she is holder who has taken a bill; complete and regular ob the face of it; before it was overdue; without notice of previous dishonour; in good faith and for value; without notice of any defect in the transferor?s title.
NatalieR answered the question on February 15, 2022 at 01:48


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