Assuming a note made by Barbara payable to Carol Jones, which indorsement will limit negotiability?
A) "Pay Carol Jones ."
B) "For deposit only, Acct. #602-043. Carol Jones ."
C) "Pay Connie for Carol M. Jones ."
D) "Pay Claudia as attorney for John Jones. Carol Jones ."

Question

Quizplus · Accepted Answer

Option B, "For deposit only, Acct. #602-043. Carol Jones," limits negotiability because it restricts the manner in which the note can be transferred or negotiated further, specifically to being deposited only into a specified account.

Assuming a Note Made by Barbara Payable to Carol Jones