Section 7507.
Cal. Commercial Code - COM § 7507.
in effectIf a person negotiates or delivers a document of title for value, otherwise than as a mere intermediary under Section 7508, unless otherwise agreed, the transferor, in addition to any warranty made in selling or leasing the goods, warrants to its immediate purchaser only that:
(1)
the document is genuine;
(2)
the transferor does not have knowledge of any fact that would impair the document’s validity or worth; and
(3)
the negotiation or delivery is rightful and fully effective with respect to the title to the document and the goods it represents.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026