Asked by
Manveer Chatha
on Nov 27, 2024Verified
Coki receives a payroll check from Data Solutions Inc. and indorses it by signing her name on the back of the check. This is
A) a blank indorsement.
B) a qualified indorsement.
C) a restrictive indorsement.
D) a special indorsement.
Blank Indorsement
A signature by the holder on the back of a negotiable instrument, such as a check, without specifying a particular endorsee, thereby making the instrument payable to the bearer.
Qualified Indorsement
An indorsement on a negotiable instrument in which the indorser disclaims any contract liability on the instrument; the notation “without recourse” is commonly used to create a qualified indorsement.
Restrictive
Imposing limitations or conditions on use, action, or movement.
- Identify the differences among multiple kinds of indorsements and how they influence the negotiability of documents.
Verified Answer
TV
Learning Objectives
- Identify the differences among multiple kinds of indorsements and how they influence the negotiability of documents.