ICC Digital Library Forum

Anyone know where I can find the U.S. regulations/practice regarding the requirements that the endorsement of a cheque must fulfill, please? Not quite ‘documentary’ I know, but grateful if someone could point me in the right direction.

I asked for some help fom a friend in the U.S. on this one.

I received the following reply, hope it is of help -

Re endorsement (we say indorsement), the question is too broad. Arguably 25% of all negotiable instruments law is about indorsement. If the question is what constitutes an indorsement of a check under prevailing commercial law, that is answered in the UCC, which defines indorsement as the signature on the check of a person other than the maker, drawer or acceptor made for the purpose of indorsement (usually for the purpose of transferring the check). If the question is about variations in the name of the payee and indorsee or how an entity signs, that's also addressed in the UCC. (Since New York oddly has the original Articles 3-4 of the UCC, one may have to focus on specific state law to get a precise answer to those kinds of indorsement questions.) If the question concerns effects of indorsement, liability of an indorser, liability of one who acts on a forged indorsement, etc. that's more complex. If the question goes beyond commercial law and into the regulation of banks, money laundering, etc., that adds complexity. One could pick up a treatise, like Brady on Checks, and get a feel for how indorsement issues are organized here or one could identify the issues and non US law answers where known and then ask for a US law comparison.

Leo,

Thanks for taking the time to do this; it’s appreciated. My question was about variations in the name of the payee and indorsee. I shall go through Articles 3 & 4 of the UCC with a ‘fine tooth comb’.

Regards, Jeremy

P.S. Not long and the rugby season starts. Hurrah! The pre-season ‘friendlies’ get under way this weekend, with the Pertemps Bees away to Stourbridge. Come on you Bees!