# Commercial Law (GCL)

## Title 3. Negotiable Instruments

### Subtitle 3. Enforcement of Instruments

#### Section 3-306

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.

---

Md. Code Ann., Com. Law (as displayed at mgaleg.maryland.gov, October 16, 2026)