§12A-7-501.

§12A-7-501.
   
   (1) A negotiable document of title running to the order of a named
   person is negotiated by his endorsement and delivery. After his
   endorsement in blank or to bearer any person can negotiate it by
   delivery alone.
   
   (2) (a) A negotiable document of title is also negotiated by delivery
   alone when by its original terms it runs to bearer;
   
   (b) when a document running to the order of a named person is
   delivered to him the effect is the same as if the document had been
   negotiated.
   
   (3) Negotiation of a negotiable document of title after it has been
   endorsed to a specified person requires endorsement by the special
   endorsee as well as delivery.
   
   (4) A negotiable document of title is "duly negotiated" when it is
   negotiated in the manner stated in this section to a holder who
   purchases it in good faith without notice of any defense against or
   claim to it on the part of any person and for value, unless it is
   established that the negotiation is not in the regular course of
   business or financing or involves receiving the document in settlement
   or payment of a money obligation.
   
   (5) Endorsement of a nonnegotiable document neither makes it
   negotiable nor adds to the transferee's rights.
   
   (6) The naming in a negotiable bill of a person to be notified of the
   arrival of the goods does not limit the negotiability of the bill nor
   constitute notice to a purchaser thereof of any interest of such
   person in the goods.