This is “Negotiation of Commercial Paper”, chapter 17 from the book The Legal Environment and Business Law: Master of Accountancy Edition (v. 1.0). For details on it (including licensing), click here.

For more information on the source of this book, or why it is available for free, please see the project's home page. You can browse or download additional books there. To download a .zip file containing this book to use offline, simply click here.

Has this book helped you? Consider passing it on:
Creative Commons supports free culture from music to education. Their licenses helped make this book available to you. helps people like you help teachers fund their classroom projects, from art supplies to books to calculators.

Chapter 17 Negotiation of Commercial Paper

Learning Objectives

After reading this chapter, you should understand the following:

  1. The distinction between transfer and negotiation of commercial paper
  2. The liability of a person who transfers paper
  3. The types of indorsements and their effects
  4. Special problems that arise with forged indorsements

In the previous chapter, we took up the requirements for paper to be negotiable. Here we take up negotiation.