Okla. Stat. tit. 12A, § 12A-7-502: Rights acquired by due negotiation

Rights Acquired by Due Negotiation.

(a) Subject to Sections 7-205 and 7-503 of this title, a holder

to which a negotiable document of title has been duly negotiated

acquires thereby:

(1) title to the document;

(2) title to the goods;

(3) all rights accruing under the law of agency or estoppel,

including rights to goods delivered to the bailee after the document

was issued; and

(4) the direct obligation of the issuer to hold or deliver the

goods according to the terms of the document free of any defense or

claim by the issuer except those arising under the terms of the

document or under this article, but in the case of a delivery order,

the bailee's obligation accrues only upon acceptance of the delivery

order and the obligation acquired by the holder is that the issuer

and any endorser will procure the acceptance of the bailee.

(b) Subject to Section 7-503 of this title, title and rights

acquired by due negotiation are not defeated by any stoppage of the

goods represented by the document or by surrender of the goods by

the bailee and are not impaired even if:

(1) the due negotiation or any prior due negotiation

constituted a breach of duty;

(2) any person has been deprived of possession of a negotiable

tangible document or control of a negotiable electronic document by

misrepresentation, fraud, accident, mistake, duress, loss, theft or

conversion; or

(3) a previous sale or other transfer of the goods or document

has been made to a third person.