Question

What are the requisites for a valid endorsement?

Answer 1

If an endorsement is to be valid, it must possess the following requisites:

• Endorsement is to be made on the face of the instrument or on its back.
• When there is no space for making further endorsements a piece of paper can be attached
• Endorsement for only a part of the amount of the instrument is invalid.
• Endorsement is complete only when delivery of the instrument is made.
• Signing in block letters does not constitute a regular endorsement.
• If the payee is an illiterate person, he can endorse it by affixing his thumb impression on the instrument.