Section 55-7-507 - Warranties on negotiation or delivery of document of title. - New Mexico Statutes

55-7-507. Warranties on negotiation or delivery of document of title.

If a person negotiates or delivers a document of title for value, otherwise than as a mere intermediary under Section 55-7-508 NMSA 1978, unless otherwise agreed, the transferor, in addition to any warranty made in selling or leasing the goods, warrants to its immediate purchaser only that: 

(1)     the document is genuine;  

(2)     the transferor does not have knowledge of any fact that would impair the document's validity or worth; and 

(3)     the negotiation or delivery is rightful and fully effective with respect to the title to the document and the goods it represents.