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Can you summarize 7 ALCA Article 3?
COMMERCIAL CODE. > NEGOTIABLE INSTRUMENTS.
Short Summary
These legal documents, part of the Code of Alabama’s Commercial Code on Negotiable Instruments, govern the negotiation, transfer, and indorsement of negotiable instruments. They define different types of indorsements and clarify the rights and liabilities of parties involved in the purchase, collection, or payment of the instrument based on the indorsement. The documents also address the reacquisition of an instrument by a former holder, the cancellation of indorsements made after reacquisition, and the transfer of negotiable instruments. They provide guidelines for the negotiation of instruments, including the requirement of endorsement for identified persons and the ability to negotiate by transfer of possession for instruments payable to bearer. The documents do not mention any specific exemptions or penalties.
Whom does it apply to?
Parties involved in the purchase, collection, or payment of negotiable instruments, including indorsers, transferees, agents, trustees, fiduciaries, and holders in due course.
What does it govern?
The negotiation, transfer, and indorsement of negotiable instruments, including specific types of indorsements, rights and liabilities of parties, reacquisition of instruments, cancellation of indorsements, and transfer of negotiable instruments.
What are exemptions?
No specific exemptions are mentioned in these documents.
What are the Penalties?
No specific penalties are mentioned in these documents.
Jurisdiction
Alabama