Freed

Growth Equities Corporation (GEC) appeals from judgments of dismissal following successful demurrers by Michael M. Edelstein (No. A048008) and Ezekiel Freed (No. A048009) to GEC’s third amended complaints seeking recovery upon notes executed by Freed and Edelstein. The issues raised in each case are the same and the appeals have been consolidated. GEC [[]] contends that the court erred in finding that the notes were nonnegotiable and that this court should find them to be negotiable as a matter of law. [[]] We hold that the court correctly found that the notes were nonnegotiable on their face.

Facts

After the court sustained a series of demurrers to GEC’s complaints, GEC filed its third amended complaint, the basic allegations of which were as follows: In 1981 Freed and Edelstein each invested as a limited partner in Earthquake Command System, a research and development limited partnership organized by Menlo Research Corporation (Menlo). In conjunction with Edelstein’s investment, he executed and delivered to Menlo a recourse promissory note in the principal amount of $30,000 with interest at the annual rate of 9 percent, due and payable on September 23, 1988, to the…