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.
Wis. Stat. § 403.306
Claims to an instrument
Applied in 2 court decisions — leading case 2001 WI App 229 - United Catholic Parish Schools of Beaver Dam Educational Ass'n v. Card Services Center (2001)
Most recently applied in 2008 WI App 35 - Willowglen Academy - Wisconsin, Inc. v. Connelly Interiors, Inc. (January 2008)
1995 a. 449.
Official source: Wisconsin State Legislature. Reproduced from public-domain Wisconsin statutes; confirm against the official source for the current text. Not legal advice.