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Can you summarize NHRS 382-A:3-203?
UNIFORM COMMERCIAL CODE > Transfer of Instrument; Rights Acquired by Transfer.
Short Summary
This legal document, part of the New Hampshire Revised Statutes under the Uniform Commercial Code, governs the transfer of instruments and the rights acquired through such transfers. It specifies that an instrument is considered transferred when it is delivered by someone other than the issuer with the intention of granting the recipient the right to enforce the instrument. The transfer of an instrument, whether through negotiation or not, grants the transferee the same rights as the transferor, including the rights of a holder in due course. However, if the transferee engaged in fraud or illegality related to the instrument, they cannot acquire the rights of a holder in due course. The document also addresses situations where an instrument is transferred for value but lacks endorsement by the transferor, granting the transferee a specifically enforceable right to the unqualified endorsement. However, negotiation of the instrument does not occur until the endorsement is made. Additionally, if a transferor purports to transfer less than the entire instrument, negotiation does not occur, and the transferee only obtains the rights of a partial assignee. The document does not mention any specific exemptions or penalties.
Whom does it apply to?
Persons involved in the transfer of instruments
What does it govern?
Transfer of Instrument; Rights Acquired by Transfer
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
New Hampshire