On December 2, 2016, Miles executed and delivered to Proctor a negotiable promissory note for \($1,000,\) payable to Proctor or order, due March 2, 2017, with interest at 14 percent from maturity, in partial payment of a printing press. On January 3, 2017, Proctor, in need of ready cash, indorsed and sold the note to Hughes for \($800\).

Hughes paid \($600\) in cash to Proctor on January 3 and agreed to pay the balance of \($200\) one week later, namely, on January 10. On January 6, Hughes learned that Miles claimed a breach of warranty by Proctor and, for this reason, intended to refuse to pay the note when it matured. On January 10, Hughes paid Proctor \($200,\) in conformity with their agreement of January 3. Following Miles’s refusal to pay the note on March 2, 2017, Hughes sues Miles for \($1,000.\) Is Hughes a holder in due course? If so, for what amount?