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Can you summarize MNST 336.8-402?
UNIFORM COMMERCIAL CODE > ASSURANCE THAT ENDORSEMENT OR INSTRUCTION IS EFFECTIVE.
Short Summary
This legal provision, under the Minnesota Statutes, specifically under the Uniform Commercial Code, governs the assurance required by issuers to ensure that each necessary endorsement of each instruction is genuine and authorized. The issuer may require various assurances, including a guaranty of the signature of the person making an endorsement or originating an instruction, reasonable assurance of identity in the case of an instruction, appropriate assurance of actual authority to sign if the endorsement is made or the instruction is originated by an agent, and appropriate evidence of appointment or incumbency if the endorsement is made or the instruction is originated by a fiduciary. The provision also allows the issuer to require reasonable assurance beyond the specified requirements. The section provides definitions for terms used, such as ‘guaranty of the signature’ and ‘appropriate evidence of appointment or incumbency’.
Whom does it apply to?
Issuers
What does it govern?
Assurance that each necessary endorsement of each instruction is genuine and authorized
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Minnesota