Once negotiable, an instrument remains negotiable but a restrictive endorsement can limit what is done.

Name: Once negotiable, an instrument remains negotiable but a restrictive endorsement can limit what is done.
Brand: Quizplus
Rating: 4.9 (46 reviews)

Question

Quizplus · Accepted Answer

A restrictive endorsement can limit the actions that can be taken with the instrument (such as specifying "for deposit only"), but it does not change the fundamental negotiable nature of the instrument itself.

Once Negotiable, an Instrument Remains Negotiable but a Restrictive Endorsement