Asked by Layton Bicanovsky on Jun 12, 2024
Verified
An indorsement "for deposit" is a collection indorsement.
Collection Indorsement
An endorsement on a negotiable instrument, such as a check or promissory note, that specifies the particular person to whom the payment is to be made.
- Evaluate the effects of specific endorsements, including qualified and restrictive, on both liability and transfer rights.
Verified Answer
SN
Shaily NandyalaJun 17, 2024
Final Answer :
True
Explanation :
An indorsement "for deposit" is considered a restrictive indorsement, which restricts the further negotiation of the instrument, typically used for the purpose of depositing funds into a specific account, thus falling under the category of a collection indorsement.
Learning Objectives
- Evaluate the effects of specific endorsements, including qualified and restrictive, on both liability and transfer rights.