What is the body of law that governs negotiable instruments?

The correct answer is the Uniform Commercial Code (UCC), as it is the comprehensive set of laws that governs commercial transactions in the United States, including the regulation of negotiable instruments. Negotiable instruments are financial documents that promise payment to a specified person or the holder, such as checks, promissory notes, and bills of exchange. The UCC, specifically Article 3, details the rules and requirements for creating, transferring, and enforcing these instruments, ensuring clarity and uniformity in commercial practices across state lines.

The other options, while significant in their respective areas of law, do not pertain to negotiable instruments. The Real Estate Settlement Procedures Act focuses on home loan procedures and protections in real estate transactions. The Securities Exchange Act relates to the regulation of securities and stock markets. The Fair Housing Act addresses discrimination in housing. Each of these laws serves a different purpose and operates in separate areas of legal regulation, making the UCC the correct authority for matters involving negotiable instruments.