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patience, when signing a bill of exchange on the back, you are assigning all rights that you were entitled to in favour of the person in whose name you make the endorsement
Let’s say that you hold a bill of exchange that has been drawn in your favour for $100 by someone that owed you money
The bill may only be changed into cash in, say, 90 days
But you want some money before that
So you say to me “Mike, will you give me $95 in exchange for this bill of exchange that I shall sign over (endorse) to you?”
“Yes, of course I shall, Patience”
So you (the drawee) now sign the bill and become the person that endorses it (the endorser) and you sign it making it payable to me (the endorsee)
OK?
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