§490:3-204  Indorsement.  (a) 
"Indorsement" means a signature, other than that of a signer as
maker, drawer, or acceptor, that alone or accompanied by other words is made on
an instrument for the purpose of (i) negotiating the instrument, (ii)
restricting payment of the instrument, or (iii) incurring indorser's liability
on the instrument, but regardless of the intent of the signer, a signature and
its accompanying words is an indorsement unless the accompanying words, the
terms of the instrument, place of the signature, or other circumstances
unambiguously indicate that the signature was made for a purpose other than
indorsement.  For the purpose of determining whether a signature is made on an
instrument, a paper affixed to the instrument is a part of the instrument.



(b)  "Indorser" means a person who
makes an indorsement.



(c)  For the purpose of determining whether the
transferee of an instrument is a holder, an indorsement that transfers a
security interest in the instrument is effective as an unqualified indorsement
of the instrument.



(d)  If an instrument is payable to a holder
under a name that is not the name of the holder, indorsement may be made by the
holder in the name stated in the instrument or in the holder's name or both,
but signature in both names may be required by a person paying or taking the
instrument for value or collection. [L 1991, c 118, pt of §1]