IC 26-1-3.1-306 — Claims to an instrument
Chapter 3.1. Negotiable Instruments
Section text
Sec. 306. 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.
As added by P.L.222-1993, SEC.5.
Source: official publisher (2026 edition)