Types of endorsements.

Order bills are negotiable endorsement and delivery. There are four types of delivery namely:

  • Blank endorsement: this is an endorsement which does not specify the endorsee. The endorsement converts an order to a bearer bill capable of further
    negotiation.
  • Special endorsement: this is an endorsement which specifies the person to whom or to whose order the bill is payable.
  • Restrictive endorsement: this is an endorsement which prohibits further negotiation of the bill. It renders the endorsee the payee but has no capacity to negotiate it further.
  • Conditional endorsement: this is an endorsement which either exempts the endorser from liability if the bill is dishonoured (sans recours) or inserts a condition subject to which the amount is payable.
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