As Amended
SEC. 75-3-306. Claims to an instrument.
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.
SOURCES: Former Sec. 75-3-306: Codes, 1942, Sec. 41A:3-306; Laws, 1966, ch. 316, Sec. 3-306, eff March 31, 1968. Laws, 1992, ch. 420, Sec. 32, eff from and after January 1, 1993.