ART. 13] NEGOTIATION. 335

55. An indorsement is restrictive, which either:

1. Prohibits the further negotiation of the instrument; or

2. Constitutes the indorsee the agent of the indorser; or

3. Vests the title in the indorsee in trust for or to the use of
some other person. But the mere absence of words implying
power to negotiate does not make an indorsement restrictive.

56. A restrictive indorsement confers upon the indorsee the
right:

1. To receive payment of the instrument;

2. To bring any action thereon that the indorser could bring;

3. To transfer his rights as such indorsee, where the form of
the indorsement authorizes him to do so.

But all subsequent indorsees acquire only the title of the
first indorsee under the restrictive indorsement.

57. A qualified indorsement constitutes the indorser a mere
assignor of the title to the instrument. It may be made by
adding to the indorser's signature the words "without recourse, "
or any words of similar import. Such an indorsement does
not impair the negotiable character of the instrument.

58. Where an indorsement is conditional, a party required
to pay the instrument may disregard the condition, and make
payment to the indorsee or his transferee, whether the condition
has been fulfilled or not. But any person to whom an instru-
ment so indorsed negotiated, will hold the same, or the proceeds
thereof, subject to the rights of the person indorsing condi-
tionally.

59. Where an instrument payable to bearer, is indorsed spe-
cially, it may, nevertheless, be further negotiated by delivery;
but the person indorsing specially is liable as indorser to only
such holders as make title through his indorsement.

60. Where the instrument is payable to the order of two or
more payees or indorsees who are not partners, all must indorse,
unless the one indorsing has authority to indorse for the others.

61. Where on instrument is drawn or indorsed to a person
as "cashier" or other fiscal officer of a bank or corporation, it
is deemed prima facie, to be payable to the bank or corporation