434

A person who, for value, negotiates or transfers a receipt by indorsement or delivery, including one who assigns for value, a claim secured by a receipt, unless a contrary intention appears, warrants:(a) That the receipt is genuine;(b) that he has a legal right to negotiate or transfer it;(c) that he has knowledge of no fact which would impair the validity or worth of the receipt, and(d) that he has a right to transfer the title to the goods and that the goods are merchantable or fit for a particular purpose whenever such warranties would have been implied, if the contract of the parties had been to transfer without a receipt the goods represented thereby. History —Feb. 21, 1918, No. 9, p. 22, § 44.