We have covered in detail about Endorsement in our previous post. Now, it is the time to pour light on its various kinds or types.
Kinds of Endorsement
1. Blank Endorsement
When the endorser of the negotiable instrument signs the instrument without mentioning the name of the person in whose favor the instrument has been endorsed is called Blank Endorsement.
2. Special Endorsement
When the name of the perosn in whose favor the negotiable instrument is being transferred is written by the endorser when signing the same. This type of endorsement is also called Endorsement in Full.
3. Restrictive Endorsement
When the further transfer of negotiable instrument is prohibited, it is called Restrictive Endorsement.
4. Conditional Endorsement
When the endorsement is done subject to the fulfillment of a condition, it is called Conditional Endorsement. For example, "Pay to Mr Smith or order after his return from Germany".