Business Law 12th Edition by Roger LeRoy Miller ,Frank Cross

تمرين 4

To watch this chapter's video, Negotiability Transferability: Indorsing Checks, go to www. cengagebrain.com and register your access code that came with your new book or log in to your existing account. Select the link for the "Business Law Digital Video Library Online Access" or "Business Law CourseMate." Click on "Complete Video List," view Video 31, and then answer the following questions: (a) According to the instructor in the video, what are the two reasons why banks generally require a person to indorse a check that is made out to cash (a bearer instrument), even when the check is signed in the presence of the teller? (b) Suppose that your friend makes out a check payable to cash, signs it, and hands it to you. You take the check to your bank and indorse the check with your name and the words "without recourse." What type of indorsement is this? How does this indorsement affect the bank's rights?