Cengage Advantage Books: Law for Business 18th Edition by John Ashcroft ,Janet Ashcroft

Exercise 16

When Bottom Line Productions Inc. borrowed $725,000 from Consumers United Insurance Co, Andre Bustamante, the vice president of Bottom Line, signed the back of the note without reference to his corporate position. Above his signature was tan guage stating, "The undersigned...waive [notice provisions] without prejudice to their liability as endorsers of this note." Bottom Line defaulted on the note, and Consumers sued Bustamante as an indorser. Should he be held to indorser liability?