Question: Material Alteration Williams purchased a used car from Stein for $1,000. Williams paid for the car with a check, written in pencil, payable to Stein
Material Alteration
Williams purchased a used car from Stein for $1,000. Williams paid for the car with a check, written in pencil, payable to Stein for $1,000. Stein, through careful erasures and alterations, changed the amount on the check to read $10,000 and negotiated the check to Boz. Boz took the check for value, in good faith, and without notice of the alteration and thus met the Uniform Commercial Codes requirements for holder in due course status. Can Williams successfully raise the universal (real) defense of material alteration to avoid payment on the check? Explain. (See Deffenses and Limitations)
Answer this using the IRAC writing Format
I-Describe the issue at hand (the question being asked)
R-Describe the rule that is applicable in this situation
A-Apply the rule to the facts of yor situation
C-Draw a conclusion
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