3201 - Negotiation. - Pennsylvania Statutes

CHAPTER 32 NEGOTIATION, TRANSFER AND INDORSEMENT Sec. 3201. Negotiation. 3202. Negotiation subject to rescission. 3203. Transfer of instrument; rights acquired by transfer. 3204. Indorsement. 3205. Special indorsement; blank indorsement; anomalous indorsement. 3206. Restrictive indorsement. 3207. Reacquisition. Enactment. Chapter 32 was added July 9, 1992, P.L.507, No.97, effective in one year. Prior Provisions. Former Chapter 32, which related to transfer and negotiation, was added November 1, 1979, P.L.255, No.86, and repealed July 9, 1992, P.L.507, No.97, effective in one year. § 3201. Negotiation. (a) Definition of "negotiation".--"Negotiation" means a transfer of possession, whether voluntary or involuntary, of an instrument by a person other than the issuer to a person who thereby becomes its holder. (b) Manner of negotiation.--Except for negotiation by a remitter, if an instrument is payable to an identified person, negotiation requires transfer of possession of the instrument and its indorsement by the holder. If an instrument is payable to bearer, it may be negotiated by transfer of possession alone. Cross References. Section 3201 is referred to in section 3103 of this title.