SPECIAL/SPECIFIED

Definition

Requirement
of indorsement
How
negotiated
Types

Rights

How done

Effect

One where the indorser identified

a specified person to whom the
instrument is transferred

YES! Indorsement of transferee

is necessary for further
negotiation
Indorsement + Delivery

BLANK
One where the indorser
merely signs his name
without identifying the
person to whom the
instrument is transferred
NO

Delivery only

RESTRICTIVE
One where the transferee of
the instrument does not
acquire the full rights of the
owner of the instrument

QUALIFIED
One which constitutes
the indorser as a mere
ASSIGNOR of the title
of the instrument

CONDITIONAL
One that is dependent upon a
contingent event that may or
may not happen

Depends if indorsement
contains the words of
negotiability
Depends if indorsement
contains the words of
negotiability
1. Prohibits the further
negotiation of the
instrument;
2. Agency type;
3. Trust type.
1. To receive payment;
2. To bring any action;
3. To transfer rights when
authorized by the form
of indorsement.
Adding words such as:
without recourse
sans recourse
at your own risk
Remains negotiable;
Party primarily liable may
disregard the condition and pay
the instrument even if the
condition has not been fulfilled