N.Y. Uniform Commercial Code Law § 3-202: Negotiation

Section 3--202. Negotiation.

(1) Negotiation is the transfer of an instrument in such form that the

transferee becomes a holder. If the instrument is payable to order it is

negotiated by delivery with any necessary indorsement; if payable to

bearer it is negotiated by delivery.

(2) An indorsement must be written by or on behalf of the holder and

on the instrument or on a paper so firmly affixed thereto as to become a

part thereof.

(3) An indorsement is effective for negotiation only when it conveys

the entire instrument or any unpaid residue. If it purports to be of

less it operates only as a partial assignment.

(4) Words of assignment, condition, waiver, guaranty, limitation or

disclaimer of liability and the like accompanying an indorsement do not

affect its character as an indorsement.