Also known as: for the account of · on behalf of · for the benefit of
Written by attorneys · grounded in primary & secondary sources — see below
An indorsement on a note or draft that introduces the name of the person entitled to receive the proceeds.
Select any source to read its text and confirm it supports the definition.
Fairfield Bank holds a promissory note secured by Finn Fletcher's commercial property. After default, the bank indorses the note for account of Franklin Foundry, the entity that funded the original loan. The indorsement directs foreclosure sale proceeds to Franklin Foundry as the entitled recipient.
After certification under Rule 23(a), class counsel receives a settlement draft from the defendant manufacturer. Counsel indorses the draft for account of the class members listed in the distribution schedule, ensuring proceeds reach the entitled plaintiffs rather than the law firm.
During settlement talks over a disputed contract claim, the defendant tenders a check. The plaintiff's attorney indorses it for account of Felicia Fuentes, the client, to route proceeds directly to her while preserving the compromise nature of the payment.
A judge participates in a charitable event by soliciting contributions. The resulting check is indorsed for account of the civic organization, directing the bank to credit the organization's account as the party entitled to the funds.
A lawyer negotiates a personal injury settlement on behalf of Faith Fitzgerald. The insurer's draft arrives payable to the lawyer's trust account. The lawyer indorses it for account of Faith Fitzgerald so the bank credits the client's personal account with the proceeds.
A buyer and seller execute a land contract evidenced by a promissory note. The seller indorses the note for account of Francesca Fowler, the purchaser's assignee, to confirm that future installment payments must be made to the named party entitled to the proceeds.
It functions as a restrictive indorsement that identifies the specific person or entity entitled to receive the proceeds of the note or draft.
No. The indorsement directs payment of proceeds to the named person without necessarily transferring ownership of the instrument itself.
…A state criminal abortion statute of the current Texas type, that excepts from criminality only a life-saving procedure on behalf of the mother, without regard to pregnancy stage and without recognition of the other interests involved, is violative of the Due Process Clause of the Fourteenth Amendment. (a) For the stage…