Ming indorsed a check from his employer by signing Ming's name and the words "without recourse." This indorsement is an example of a _____.
A) qualified indorsement
B) blank indorsement
C) special indorsement
D) restrictive indorsement

Question

Quizplus · Accepted Answer

A qualified indorsement is one by which the indorser disclaims her liability to make the instrument good if the maker or drawer defaults on it. Words such as "without recourse" are used to qualify an indorsement. The given case illustrates a qualified endorsement because Ming indorsed a check from his employer by signing Ming's name and the words "without recourse."

Ming Indorsed a Check from His Employer by Signing Ming's