Mortgage Lending: 13.8.12 No Holder in Due Course When Note Comes with “Luggage” or Incorporates Mortgage Provisions
To be negotiable, a note must contain an unconditional promise to pay money and there must be no other undertaking. In order to have an unconditional promise to pay, the note itself must not contain an express condition.462 Additionally, the note cannot be “subject to” or “governed by” another document or obligation.