Claw Quiz1

Front 1

An instrument is blank when it is transferred from one person to another in such manner as to constitute the transferee the holder thereof

Back 1

Negotiated

Front 2

If payable to bearer, it is negotiated by

Back 2

Delivery

Front 3

If payable to order, it is negotiated by

Back 3

The indorsement of the holder completed by delivery

Front 4

Methods of transfer of a negotiable instrument

Back 4

Issue

Negotiation

Assignment

Front 5

First delivery of the instrument complete in form, to a person who takes it as a holder

Back 5

Issue

Front 6

First transfer of an instrument to a payee

Back 6

Issue

Front 7

Operates to make the transferee of a negotiable instrument the holder thereof

Back 7

Negotiation

Front 8

Ordinarily involves indorsement so that blank and indorsement are often used interchangeably

Back 8

Negotiation

Front 9

Involves a transfer of rights under a contract

Back 9

Assignment

Front 10

Transfer of non negotiable instrument always constitute a blank

Back 10

Assignment

Front 11

The word blank is also used when referring to assignment

Back 11

Transfer

Front 12

When a negotiation takes place, the transferee becomes a blank

Back 12

Holder

Front 13

Transfer of a negotiable instrument from one person to another made in such a manner as to constitute the transferee the holder thereof

Back 13

Negotiation

Front 14

There is blank if the transfer does not make the transferee the holder of the instrument

Back 14

No negotiation

Front 15

Methods of negotiation

Back 15

Instruments payable to order

Instruments payable to bearer

Front 16

An indorsement by the payee or present holder and the delivery to the next holder are the two steps for the negotiation

Back 16

Instruments payable to order

Front 17

It is negotiated by mere delivery alone without indorsement

Back 17

Instruments payable to bearer

Front 18

Person in possession of a bill or note

Back 18

Bearer

Front 19

Transfer of possession, actual or constructive from one person to another

Back 19

Delivery

Front 20

Payee or indorsee of a bill or note who is in possession of it or the bearer thereof

Back 20

Holder

Front 21

The payment of a check or other bill by the DRAWEE BANK is not a negotiation and does not make the bank a holder

Back 21

True

Front 22

Transfer if the title to an instrument with the assignee generally taking only such title or tights as his assigning has, subject to all defenses available against his assignor

Back 22

Assignment

Front 23

May either be negotiated or assigned

Back 23

Negotiable instrument

Front 24

Can only be assigned or transferred

Back 24

Non-negotiable instrument

Front 25

Refers only to negotiable instrument

Back 25

Negotiation

Front 26

Refers generally to an ordinary contract

Back 26

Assignment

Front 27

In negotiation, the transferee is a blank

Back 27

Holder

Front 28

In assignment, the transferee is a blank

Back 28

Assignee

Front 29

Subject only to real defenses

Back 29

Holder in due course

Front 30

Subject to both real and personal defenses

Back 30

Assignee

Front 31

Warrants the solvency of prior parties

Back 31

General indorser

Front 32

Does not warrant the solvency of prior parties unless expressly stipulated or the insolvency is known to him

Back 32

Assignor

Front 33

Not liable unless there be presentment and notice of dishonor

Back 33

Indorser

Front 34

Liable even without notice of dishonor

Back 34

Assignor

Front 35

The signature of the indorser without additional words, is not a sufficient indorsement

Back 35

False

Front 36

Writing of the name of the payee on the instrument with the intent either to transfer the title to the same or to strengthen the security of the holder by assuming a contingent liability for its future payment, or both

Back 36

Indorsement

Front 37

The payee by signing the instrument and delivering it to another person

Back 37

Indorser

Front 38

The person who receives the indorsed instrument

Back 38

Indorsee

Front 39

Essential to the execution of an instrument payable to the order of the maker or drawer

Back 39

Indorsement

Front 40

Does not make a negotiation a mere assignment

Back 40

Assign

Front 41

Indorsement requiring only the signature of the indorser without additional words is

Back 41

Blank indorsement

Front 42

Where the name of the indorsee is specified

Back 42

Special indorsement

Front 43

Indorsement is derived from the Latin word blank

Back 43

Indorsa

Front 44

Where the indorsement is on a slip of paper physically attached to the instrument so as to become part of it, the paper is known as

Back 44

Allonge

Front 45

Indorsement must be of entire instrument

Back 45

True

Front 46

Indorsement to multiple payees or indorsees

Back 46

Joint payees

Alternative payees

Front 47

An indorsement purporting to transfer the instrument to two or more persons generally does not operate as a negotiation of the instrument for again the causes of action is split or divided

Back 47

Joint payees

Front 48

Indorsement as to methods of negotiation

Back 48

Special

Blank

Front 49

Indorsement as to kind of title transferred

Back 49

Restrictive

Non-restrictive

Front 50

Indorsement as to scope of liability of indorser

Back 50

Qualified

Unqualified or general

Front 51

Indorsement as to presence or absence of limitations

Back 51

Conditional

Unconditional

Front 52

Indorsement as to the other kinds of indorsement

Back 52

Joint

Successive

Irregular or anomalous

Facultative

Front 53

Specifies the person to whom or to whose order the instrument is to be payable and the indorsement of such indorsee is necessary to the further negotiation of the instrument

Back 53

Special indorsement

Front 54

Specifies no indorsee and an instrument so indorsed is payable to bearer and may be negotiated by delivery

Back 54

Blank ndorsement

Front 55

Restrictive indorsement

Back 55

1. Prohibits further negotiation

2. Constitutes indorsee agent of indorser

3. Vests title in indorsee for the benefit of the indorser or a third party

Front 56

Constitutes the indorser a mere assignee of the title of the instrument

Back 56

Qualified instrument

Front 57

Means a resort to a person who is secondarily liable after the default of the person who is primarily liable

Back 57

Recourse

Front 58

Effects of qualified indorsement

Back 58

1. Indorser, a mere assignor

2. Minister's liability limited

3. Negotiability of instrument not affected

Front 59

Transfer title without guaranteeing payment

Back 59

Qualified indorsement

Front 60

A party required to pay the instrument may disregard the condition and make payment to the indorsee or his transferee whether the condition has been fulfilled or not

Back 60

Conditional indorsement

Front 61

One by which the indorser binds himself to pay upon no other condition than the failure of prior parties to do so and of dye notice to him of such failure

Back 61

Absolute indorsement

Front 62

One by which the indorser imposes some other condition to his liability or on the indorsee's right to collect the proceeds of the instrument

Back 62

Conditional indorsement