§46-3-306. Claims to an instrument.
67 words·~1 min read·
/wv/chapter-46-uniform-commercial-code/article-3-negotiable-instruments/46-3-306·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A person taking an instrument, other than a person having rights of a holder in due course, is subject to a claim of a property or possessory right in the instrument or its proceeds, including a claim to rescind a negotiation and to recover the instrument or its proceeds. A person having rights of a holder in due course takes free of the claim to the instrument.