§ 3-204 — Special Indorsement; Blank Indorsement

Section 3--204. Special Indorsement; Blank Indorsement.\n (1) A special indorsement specifies the person to whom or to whose\norder it makes the instrument payable. Any instrument specially indorsed\nbecomes payable to the order of the special indorsee and may be further\nnegotiated only by his indorsement.\n (2) An indorsement in blank specifies no particular indorsee and may\nconsist of a mere signature. An instrument payable to order and indorsed\nin blank becomes payable to bearer and may be negotiated by delivery\nalone until specially indorsed.\n (3) The holder may convert a blank indorsement into a special\nindorsement by writing over the signature of the indorser in blank any\ncontract consistent with the character of the indorsement.\n