Section 17. Negotiation of warehouse receipt not impaired by fraud, mistake or duress.

The validity of the negotiation of a receipt is not impaired by the fact that-- (a) the negotiation was a breach of duty on the part of the person making the negotiation; or (b) the owner of the receipt was induced by fraud, mistake or duress to entrust the possession or custody of the receipt to that person, if the person to whom the receipt was negotiated or a person to whom the receipt was subsequently negotiated, paid value for it without knowing of the breach of duty, fraud, mistake or duress.