400.3-204. Endorsement.
Endorsement.
400.3-204. (a) "Endorsement" means a signature, other thanthat of a signer as maker, drawer, or acceptor, that alone oraccompanied by other words is made on an instrument for thepurpose of (i) negotiating the instrument, (ii) restrictingpayment of the instrument, or (iii) incurring endorser'sliability on the instrument, but regardless of the intent of thesigner, a signature and its accompanying words is an endorsementunless the accompanying words, terms of the instrument, place ofthe signature, or other circumstances unambiguously indicate thatthe signature was made for a purpose other than endorsement. Forthe purpose of determining whether a signature is made on aninstrument, a paper affixed to the instrument is a part of theinstrument.
(b) "Endorser" means a person who makes an endorsement.
(c) For the purpose of determining whether the transfereeof an instrument is a holder, an endorsement that transfers asecurity interest in the instrument is effective as anunqualified endorsement of the instrument.
(d) If an instrument is payable to a holder under a namethat is not the name of the holder, endorsement may be made bythe holder in the name stated in the instrument or in theholder's name or both, but signature in both names may berequired by a person paying or taking the instrument for value orcollection.
(L. 1992 S.B. 448)*No continuity with § 400.3-204 as repealed by L. 1992 S.B. 448.