Section 56Requisites of indorsement

s. 56

56. Requisites of indorsement (1) Negotiation by indorsement must be of the entire instrument. (2) An indorsement which purports to transfer to the indorsee only a part of the amount payable, or which purports to transfer the instrument to two or more indorsees severally, is not valid as a negotiation of the instrument; but where such amount has been paid in part, a note to that effect may be indorsed on the instrument, which may then be indorsed for the balance.