In re Bass
North Carolina Supreme Court
738 S.E.2d 173 (2013)
Relevant factsFree
Tonya Bass (defendant) obtained a mortgage from Mortgage Lenders Network USA (MLN), which purported to transfer it to Emax Financial using a stamp reading "Pay to the order of [Emax] without recourse" rather than a handwritten signature. The note was eventually transferred to U.S. Bank (plaintiff), and when Bass defaulted, U.S. Bank began foreclosure. Bass argued MLN's stamp wasn't a valid signature, so the transfer — and U.S. Bank's status as holder — was invalid. The trial court agreed with Bass, and U.S. Bank appealed.
IssueFree
Whether a symbol on a promissory note evidencing intent to transfer constitutes a sufficient indorsement when nothing about the circumstances shows it was not meant as one.