Singapore legislation

Section 32

of Bills of Exchange Act 1949

Section 32

Requisites of a valid indorsement

An indorsement in order to operate as a negotiation must comply with the following conditions:

(a)

it must be written on the bill itself and be signed by the indorser; the simple signature of the indorser on the bill, without additional words, is sufficient; an indorsement written on an allonge, or on a “copy” of a bill issued or negotiated in a country where “copies” are recognised, is deemed to be written on the bill itself;

(b)

it must be an indorsement of the entire bill; a partial indorsement, that is to say, an indorsement which purports to transfer to the indorsee a part only of the amount payable, or which purports to transfer the bill to 2 or more indorsees severally, does not operate as a negotiation of the bill;

(c)

where a bill is payable to the order of 2 or more payees or indorsees who are not partners, all must indorse unless the one indorsing has authority to indorse for the others;

(d)

where, in a bill payable to order, the payee or indorsee is wrongly designated, or his name is mis-spelt, he may indorse the bill as therein described, adding, if he thinks fit, his proper signature;

(e)

where there are 2 or more indorsements on a bill, each indorsement is deemed to have been made in the order in which it appears on the bill, until the contrary is proved;

(f)

an indorsement may be made in blank or special; it may also contain terms making it restrictive.

Section 32 — Bills of Exchange Act 1949 | laws.sg