§12A-3-420.

§12A-3-420.
   
                          CONVERSION OF INSTRUMENT
                                      
   (a) The law applicable to conversion of personal property applies to
   instruments. An instrument is also converted if it is taken by
   transfer, other than a negotiation, from a person not entitled to
   enforce the instrument or a bank makes or obtains payment with respect
   to the instrument for a person not entitled to enforce the instrument
   or receive payment. An action for conversion of an instrument may not
   be brought by (i) the issuer or acceptor of the instrument or (ii) a
   payee or indorsee who did not receive delivery of the instrument
   either directly or through delivery to an agent or a co-payee.
   
   (b) In an action under subsection (a) of this section, the measure of
   liability is presumed to be the amount payable on the instrument, but
   recovery may not exceed the amount of the plaintiff's interest in the
   instrument.
   
   (c) A representative, other than a depositary bank, who has in good
   faith dealt with an instrument or its proceeds on behalf of one who
   was not the person entitled to enforce the instrument is not liable in
   conversion to that person beyond the amount of any proceeds that it
   has not paid out.