G. Michael Turman and Carolyn Turman (defendants) contracted with Ward’s Home Improvement, Inc. (Ward) (plaintiff) for the construction of a home on the Turmans’ property. In consideration of the contract, the Turmans executed a deed-of-trust note in the amount of $107,500, payable to Ward. Ward subsequently assigned the note to Robert Pomerantz (plaintiff). Ward did not indorse or mark the assigned note with any further notations. When Ward failed to complete the construction of the home, Pomerantz demanded payment on the note from the Turmans, contending that his status as a holder in due course permitted him to enforce the note.