Negotiation Flashcards
1
Q
When is an instrument negotiated? What section?
A
When the instrument is transferred from one person to another in such a manner as to constitute the transferee the holder thereof.
Section 30
2
Q
Is an indorsement without additional word a sufficient indorsement?
A
Yes. Under section 31
3
Q
Kinds of indorsement, what section?
A
Sec 33
Special
Blank
Restrictive
Qualified
Conditional
4
Q
How can a blank indorsement become special?
A
Sec 35
By writing over the signature of the indorser in blank any contract
5
Q
What are the effects of restrictive indorsement? What section?
A
Sec 36
- Prohibits further nego
- constitutes the indorsee the agent of the indorser
- vests the title in the indorsee
6
Q
What is the liability of the maker? Section
A
- Engages himself to pay according to its TENOR
Admits the existence of the payee
His capacity to indorse
