Liability of an agent or broker in negotiable instruments

Category: Law on Negotiable Instruments

Liability of an agent or broker in negotiable instruments

Sec. 69. Liability of an agent or broker. - Where a broker or other agent negotiates an instrument without indorsement, he incurs all the liabilities prescribed by Section Sixty-five of this Act, unless he discloses  the  name  of  his  principal  and  the  fact  that  he  is  acting only as agent.
 

APPLICATION OF SECTION 69

•      Instruments payable to bearer
•      To  escape  personal  liability  as  a  party  negotiating  by  delivery,  the agent must disclose his principal and state that he is acting only as an agent