Definition of Restrictive endorsement:
Endorsement which limits further negotiability of a negotiable instrument. For example, the words accounts payee Only on the face (in the UK) or For deposit only on the back (in the US) of a check block its cashing over the counter and (generally) endorsement to another party. Also called endorsement limiting further endorsement.
How to use Restrictive endorsement in a sentence?
- The restrictive endorsement was useful in organizing the payment process as we wanted to ensure no mistakes or problems would arise.
- By using checks with restrictive endorsement , Andrew could feel comfortable carrying around his checkbook, knowing that no one could try to re-route the checks he wrote.
- He received a restrictive endorsement from the company and that meant a few things that an ordinary endorsement did not.
Meaning of Restrictive endorsement & Restrictive endorsement Definition