Not Negotiable - Definition - Law Dictionary Home Dictionary Definition not-negotiable

Definition :

Not negotiable. These words are sometimes added as part of the crossing of a cheque, with the result that no one who takes the cheque can have or can give a better title than the person had from whom he took it, see Bills of Exchange Act, 1882, s. 81; G.W. Ry. Co. v. London and County Bank, 1901 AC 422. [S. 130, Negotiable Instrument Act]

A warrant for interest on War Stock signed by the Chief Accountant of the Bank of England and crossed '& Co.,' not negotiable, directing the bank's cashiers to pay a certain sum to the order of a certain person is a cheque within the meaning of the Bills of Exchange Act, 1882, and a 'warrant for payment of a dividend' within s. 95 of the same Act. A banker in good faith and without negligence receiving payment for a customer who has no title is entitled to the protection of s. 82 of the Act [Slingsby v. Westminster Bank Ltd., (1931) 1 KB 173; see also Imports Company Ltd. v. Westminster Bank Ltd., (1927) 2 KB 297; and R.E. Jones Ltd. v. Waring and Gillow Ltd., (1925) 2 KB 612; 1926 AC 670].