Ivan Is a Representative of Sigma Inc

Essay

Ivan is a representative of Sigma Inc., Checks are drawn by "Sigma Inc., Payroll Account (signed)
D. Ivan," but the checks are not paid. Who is liable on the instrument-the individual or the corporation?
When a representative signs an authorized signature to an instrument, then the representative is not bound provided the signature shows "unambiguously" that the signature was made on behalf of the represented person who is named in the instrument. Sigma Inc. is, therefore, liable for payment of the checks and not Ivan, even though Ivan signed the checks.