Section 7–505. Indorser Not Guarantor for Other Parties.

Terms Used In N.Y. Uniform Commercial Code 7-505

  • Bailee: means a person that by a warehouse receipt, bill of lading, or other document of title acknowledges possession of goods and contracts to deliver them. See N.Y. Uniform Commercial Code 7-102
  • Guarantor: A party who agrees to be responsible for the payment of another party's debts should that party default. Source: OCC

The indorsement of a tangible document of title issued by a bailee does not make the indorser liable for any default by the bailee or previous indorsers.