A more thorough explanation:

Definition: With recourse means that the person who endorses a financial instrument, such as a check or promissory note, remains liable to the holder for payment. This means that if the instrument is not paid, the endorser can be held responsible for the debt.

• When John endorsed the check with recourse, he agreed to be responsible for the payment if the check bounced.
• The bank required the borrower to sign the loan agreement with recourse, so that they could go after the borrower if they defaulted on the loan.

These examples illustrate how with recourse works in practice. By agreeing to endorse a financial instrument with recourse, the endorser is taking on additional risk and responsibility for the debt. This can be beneficial for the holder of the instrument, who has more assurance that they will be paid, but it can also be risky for the endorser, who may be held liable for a debt they did not incur.