                                 CODE OF VIRGINIA

CLAIMS TO AN INSTRUMENT (§ 8.3A-306)

A person taking an instrument, other than a person having rights of a holder in
due course, is subject to a claim of a property or possessory right in the
instrument or its proceeds, including a claim to rescind a negotiation and to
recover the instrument or its proceeds. A person having rights of a holder in
due course takes free of the claim to the instrument.

HISTORY: Code 1950, §§ 6-367, 6-368, 6-380, 6-409 through 6-411; 1964, c. 219,
§§ 8.3-305, 8.3-306; 1992, c. 693.