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XII. DOCUMENTS OF TITLE - Coggle Diagram
XII. DOCUMENTS OF TITLE
ORDER/BEARER -> NEGO INST
Article 1507. A document of title in which it is stated that the goods referred to therein will be delivered to the bearer, or to the order of any person named in such document is a negotiable document of title. (n)
NEGOTIABLE BY DELIVERY IF:
Article 1508. A negotiable document of title may be negotiated by delivery:
- DELIVERY TO BEARER
(1) Where by the terms of the document the carrier, warehouseman or other bailee issuing the same undertakes to deliver the goods to the bearer; or
- BLANK/BEARER INDO
(2) Where by the terms of the document the carrier, warehouseman or other bailee issuing the same undertakes to deliver the goods to the order of a specified person, and such person or a subsequent indorsee of the document has indorsed it in blank or to the bearer.
INDORSABLE BY DELIVEREE
Article 1509. A negotiable document of title may be negotiated by the indorsement of the person to whose order the goods are by the terms of the document deliverable.
IF "NON-NEGOTIABLE" -> STILL NEGO
IF NEGO UNDER THIS TITLE
Article 1510. If a document of title which contains an undertaking by a carrier, warehouseman or other bailee to deliver the goods to bearer, to a specified person or order of a specified person or which contains words of like import,
has placed upon it the words "not negotiable," "non-negotiable" or the like, such document may nevertheless be negotiated by the holder and is a negotiable document of title within the meaning of this Title.
NON-DELIVERABLE -> PURCHASER/DONEE
Article 1511. A document of title which is not in such form that it can be negotiated by delivery may be transferred by the holder by delivery to a purchaser or donee.
NEGO INST: NEGOTIABLE BY:
Article 1512. A negotiable document of title may be negotiated:
- OWNER
(1) By the owner thereof; or
- ENTRUSTED CUSTODIAN IF:
(2) By any person to whom the possession or custody of the document has been entrusted by the owner,
a. ORDER: DELIVERABLE TO ORDER OF INST POSSESSOR
if, by the terms of the document the bailee issuing the document undertakes to deliver the goods to the order of the person to whom the possession or custody of the document has been entrusted,
or
b. DELIVERY: NEGOTIABLE BY DELIVERY
if at the time of such entrusting[,]
the document is in such form that it may be negotiated by delivery. (n)
DELIVEREE'S RIGHTS
Article 1513. A person to whom a negotiable document of title has been duly negotiated acquires thereby:
- GOODS CONVEYABLE
(1) Such title to the goods as the person negotiating the document to him
had or
had ability to convey
to a purchaser in good faith for value and
also such title to the goods as the person to whose order the goods were to be delivered
by the terms of the document had or had ability to convey to a purchaser in good faith for value; and
- CONTRACT WITH BAILEE
(2) The direct obligation of the bailee issuing the document to hold possession of the goods for him according to the terms of the document as fully as if such bailee had contracted directly with him. (n)
T'EE HAS TITLE AGAINST T'OR
Article 1514. A person to whom a document of title has been transferred, but not negotiated, acquires thereby, as against the transferor, the title to the goods, subject to the terms of any agreement with the transferor.
INDO REQUIRED FOR NEGO ->
T'EE MAY COMPEL INDO
Article 1515. Where a negotiable document of title is transferred for value by delivery,
and
the indorsement of the transferor is essential for negotiation,
the transferee acquires a right against the transferor to compel him to indorse the document unless a contrary intention appears.
- 3 more items...
TRANSFEREE MAY NOTIFY BAILEE AS TO ACQUIRE CONTRACT w/ BAILEE
If the document is non-negotiable, such person also acquires the right to notify the bailee who issued the document of the transfer thereof, and thereby to acquire the direct obligation of such bailee to hold possession of the goods for him according to the terms of the document.
- 1 more item...
NON-NEGOTIABLE = NO NEGOTIATION
INDO = NO ADDED RIGHT
A non-negotiable document cannot be negotiated and the indorsement of such a document gives the transferee no additional right. (n)
THIS TITLE DOES NOT MODIFY DELIVERER'S OBLIGATIONS
But nothing in this Title contained shall be construed as
limiting or defining the effect
upon the obligations of the carrier, warehouseman, or other bailee
issuing a document of title or
placing thereon the words "not negotiable," "non-negotiable," or the like. (n)
INDORSEMENT MAY BE
- BLANK
- SPECIFIC
Such indorsement may be in blank, to bearer or to a specified person.
NEXT INDO MAY BE B/S TOO
If indorsed to a specified person, it may be again negotiated by the indorsement of such person in blank, to bearer or to another specified person.
-
SUBSEQUENT SPECIFIC INDO
Where by the terms of a negotiable document of title the goods are deliverable to bearer or where a negotiable document of title has been indorsed in blank or to bearer, any holder may indorse the same to himself or to any specified person, and in such case the document shall thereafter be negotiated only by the indorsement of such indorsee. (n)
Is the issuer just the bailee or does that apply to carrier, warehouseman, and bailee?