Claim in Recoupment to Negotiable Instrument

The video tutorial discusses the concept of personal defense, which can be asserted against a holder but not a holder in due course. It introduces claiming recoupment, where the payor offsets any debt owed by the original issuer. This defense applies to the original issue and any subsequent holder who is not a holder in due course, potentially reducing the payor's obligation under the instrument.

What is the difference between a personal defense and a non-personal defense?

Explain the concept of claiming recruitment in the context of payment instruments.

How does a holder in due course differ from a regular holder regarding defenses?

What implications does the original issuer's debt have on subsequent holders?

Describe the impact of claim and recoupment on the obligations of the payor.