Asked by Amanda Herrera on Jul 05, 2024

verifed

Verified

Emil writes and signs a check payable to "Film Arts Cinema." George, Film Arts' manager, indorses the check "For deposit only." This is

A) a blank indorsement.
B) a qualified indorsement.
C) a restrictive indorsement.
D) a special indorsement.

Deposit Only

A banking feature allowing for the deposit of funds into an account but not permitting withdrawals without specific authorization.

Indorsement

Indorsement refers to the act of signing one's name on the back of a negotiable instrument, such as a check, thereby transferring rights or title to another party.

Film Arts

The field concerned with the creation, analysis, and critique of films as a form of artistic expression.

  • Differentiate among various forms of endorsements and their impact on the transferability of financial instruments.
verifed

Verified Answer

RM
Reyna MartinezJul 11, 2024
Final Answer :
C
Explanation :
A restrictive indorsement is when the indorser includes a condition that limits the use of the check, such as "For deposit only." This restricts the check to being deposited rather than cashed or further endorsed.