KRS 355.7-104: Negotiable and nonnegotiable document of title.

(1) A document of title is negotiable if by its terms the goods are to be delivered to

bearer or to the order of a named person.

(2) A document of title other than one described in subsection (1) of this section is

nonnegotiable. A bill of lading that states t hat the goods are consigned to a named

person is not made negotiable by a provision that the goods are to be delivered only

against an order in a record signed by the same or another named person.

(3) A document of title is nonnegotiable if, at the time it is issued, the document has a

conspicuous legend, however expressed, that it is nonnegotiable.