Case 1

M makes a promissory note payable to the order of P. P indorses the note specially to A, A indorses the note in blank and delivers the same to B. B specially indorses the note to C, C specially indorses the note to D, D indorses the note in blank and delivers it to E, E specifically indorses the note to H, holder. Whose indorsement may H strike out?

Case 2

M makes a note payable to P or bearer and delivers the note to P. P indorses the note to A. A keeps the note in his drawer but it is stolen by F who negotiates the same to B by forging A's signature, B indorses the note to C, C indorses the note to H, a holder in due course. Who among the following can set up the defense of forgery?

Case 3

At a movie premier, Perfecto Palmares approached Sharon Morales, the star of the movie, and requested an autograph from her. Sharon Morales willingly obliged and signed her name at the bottom right portion of a white 8" x 11" stationery which Perfecto Palmares presented to her. Shortly after reaching home, Perfecto Palmares printed above the signature of Sharon Morales through his computer the following: "I promise to pay Perfecto Palmares or his order P50, 000.00". Thereafter, Perfecto Palmares negotiated the paper to Arturo Alvarez, Arturo Alvarez to Bernardo Benitez, and Bernardo Benitez to Henry Hilado, holder. Alvarez, Benitez and Hilado knew nothing about how the apparent note came into being. (F Soriano)

Question: Will Sharon Morales be held liable for the note? If Henry Hilado is a holder in due course, can he collect from Sharon Morales?