Kinds of Endorsement

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".