The concept of Holder in Due Course (HIDC) plays a critical role in the check payments system, providing certain legal protections to those who take negotiable instruments under specific conditions. This course explores the HIDC doctrine as defined under UCC 3-302, including the rights it affords and the obligations it imposes on parties involved in check transactions.

Learners will begin with a foundational understanding of what it means to be a Holder, as defined in UCC 1-201(21)-a person in possession of a negotiable instrument that is payable either to bearer or to an identified individual. From there, the course delves into the requirements for achieving HIDC status, which grants a holder the right to enforce payment from the Drawer, even if the check was later returned or adjusted back as unpaid.

This course is designed for learners seeking to deepen their understanding of check law and risk management in payments. By the end, participants will be able to recognize HIDC rights and defenses, assess the enforceability of checks under HIDC principles, and apply these concepts to real-world scenarios.

This course is available exclusively to members of ePayResources.

Item Number: LMSM8003