Gwen signs a check payable to Hart and gives it to him. Hart indorses the back, and transfers the check to Ingrid. To negotiate the check to Jaime, Ingrid must
A) write "Ingrid" on the back.
B) write "pay to the order of Jaime [signed] Ingrid" on the back.
C) deliver the check to Jaime.
D) obtain Jaime's signature on the back.

Question

Gwen signs a check payable to Hart and gives it to him. Hart indorses the back, and transfers the check to Ingrid. To negotiate the check to Jaime, Ingrid must​
A) ​write "Ingrid" on the back.
B) ​write "pay to the order of Jaime [signed] Ingrid" on the back.
C) ​deliver the check to Jaime.
D) ​obtain Jaime's signature on the back.

Quizplus · Accepted Answer

To negotiate a check, the holder must deliver it to the next party. Indorsement is not necessary if the check is already indorsed in blank or is bearer paper.

Gwen Signs a Check Payable to Hart and Gives It