In relation to the law which governs negotiable instruments, list and briefly explain four types of endorsements.

      

In relation to the law which governs negotiable instruments, list and briefly explain four
types of endorsements.

  

Answers


Maurice
Order bills are negotiable by endorsement and delivery. There are four types of delivery
namely:
(i) Blank endorsement: this is an endorsement which does not specify the
endorsee.The endorsement converts an order to a bearer bill capable of further
negotiation.

(ii) Special endorsement: this is an endorsement which specifies the person to
whom or to whose order the bill is payable.

(iii) Restrictive endorsement: this is an endorsement which prohibits
furthernegotiation of the bill. It renders the endorsee the payee but has no capacity
to negotiate it further.

(iv) Conditional endorsement: this is an endorsement which either exempts
the endorser from liability if the bill is dishonoured (sans recours) or inserts a
condition subject to which the amount is payable.
maurice.mutuku answered the question on May 1, 2018 at 07:10


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