28-7-507. WARRANTIES ON NEGOTIATION OR DELIVERY OF DOCUMENT OF TITLE. If a person negotiates or delivers a document of title for value, otherwise than as a mere intermediary under section 28-7-508, unless otherwise agreed, the transferor, in addition to any warranty made in selling or leasing the goods, warrants to its immediate purchaser only that:
(1) The document is genuine;
(2) The transferor does not have knowledge of any fact that would impair the document’s validity or worth; and
(3) The negotiation or delivery is rightful and fully effective with respect to the title to the document and the goods it represents.
History:
[28-7-507, added 2004, ch. 42, sec. 2, p. 95.]
Structure Idaho Code
Title 28 - COMMERCIAL TRANSACTIONS
Chapter 7 - DOCUMENTS OF TITLE
Part 5 - WAREHOUSE RECEIPTS AND BILLS OF LADING — NEGOTIATION AND TRANSFER
Section 28-7-501 - FORM OF NEGOTIATION AND REQUIREMENTS OF DUE NEGOTIATION.
Section 28-7-502 - RIGHTS ACQUIRED BY DUE NEGOTIATION.
Section 28-7-503 - DOCUMENT OF TITLE TO GOODS DEFEATED IN CERTAIN CASES.
Section 28-7-505 - INDORSER NOT GUARANTOR FOR OTHER PARTIES.
Section 28-7-506 - DELIVERY WITHOUT INDORSEMENT — RIGHT TO COMPEL INDORSEMENT.
Section 28-7-507 - WARRANTIES ON NEGOTIATION OR DELIVERY OF DOCUMENT OF TITLE.
Section 28-7-508 - WARRANTIES OF COLLECTING BANK AS TO DOCUMENTS OF TITLE.
Section 28-7-509 - ADEQUATE COMPLIANCE WITH COMMERCIAL CONTRACT.