Zeke pulls out a knife and tells Bob to write him a check for $500. Bob does so. Zeke takes the check to his bank, properly endorses it, and receives $500 in cash. Bob stops payment on the check. Which of the following statements is true? 

A. Bob need not pay the check because the bank is a holder, not a holder in due course. 

B. Bob need not pay the check because it was obtained illegally. 

C. Bob must pay the check because the bank is a holder in due course. 

D. Bob must pay the check because Zeke was a holder in due course

Answer rating: 100% (QA)

Bob must pay the check because the bank is a holder in due course It is under sections 3 ... View the full answer