Negotiable Instruments - Law Dictionary Search Results
Home Dictionary Name: negotiable instrumentsNegotiable instruments
Negotiable instruments, those the right of action upon which is, by exception from the common rule, freely assignable from one to another, such as bills of exchange and promissory notes. Any person acquiring a negotiable instrument for value and in good faith can enforce the contract contained in it against the person liable on it, although the person from whom he has obtained it had no title. See also CHOSE.Promissory notes were made negotiable by 3 & 4 Anne, c. 9. and 7 Anne, c. 25, and placed in all respects upon the same footing with inland bills of exchange. [s. 13(1), Negotiable Instrument Act]The (English) Bills of Exchange Act, 1882, contains the law as to negotiation of bills of exchange, promissory notes, and cheques. S. 31 declares that these instruments are negotiated when they are transferred from one person to another in such a manner as to constitute the transferee the holder of them, and s. 32 enumerates the conditions under which an indorsement may operate as a negotia...
negotiable instrument
negotiable instrument : a transferable instrument (as a note, check, or draft) containing an unconditional promise or order to pay to a holder or to the order of a holder upon issue, possession, demand, or at a specified time [was determined to be a holder in due course of a negotiable instrument] see also bearer, holder in due course ...
negotiable instruments
negotiable instruments A written document signed by the maker that includes an unconditional promise to pay a sum of money. Source: FindLaw ...
Negotiation by delivery
Negotiation by delivery, [See Negotiable Instru-ments Act, 1881 (26 of 1881), s. 47]Subject to the provision of s. 58, a promissory note, bill of exchange or cheque payable to bearer is negotiable by delivery thereof.Exception.--A promissory note, bill of exchange or cheque delivered on condition that it is not to take effect except in a certain event is not negotiable (except in the hands of a holder for value without notice of the condition) unless such event happens.Illustrations(a) A, the holder of a negotiable instrument payable to bearer, delivers it to B's agent to keep for B. The instrument has been negotiated.(b) A, the holder of a negotiable instrument payable to bearer, which is in the hands of A's banker, who is at the time the banker of B, directs the banker to transfer the instrument to B's credit in the banker's account with B. The banker does so, and accordingly now possesses the instrument as B's agent. The instrument has been negotiated, and B has become the holder of...
Negotiation
Negotiation, treaty of business, whether public or private. [s. 48, Negotiable Instrument Act, 1881 (26 of 1881)]--when a promissory note, bill of exchange or cheque is transferred to any person, so as to constitute that person the holder thereof, the instrument is said to be negotiated. [Negotiable Instruments Act, 1881 (26 of 1881) s. 14 & 48]...
negotiable
negotiable : capable of being negotiated ;esp : transferable from one party to another by delivery with or without endorsement so that title passes to the transferee [ securities] [a certificate of deposit] see also negotiable instrument ne·go·tia·bil·i·ty [ni-gō-shə-bi-lə-tē] n ...
Not negotiable
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 Gill...
Foreign instrument
Foreign instrument, any such instrument not so drawn, made, or made payable shall be deemed to be a foreign instrument. (Negotiable Instruments Act, 1881, s. 12)....
Inland instrument
Inland instrument, A promissory note, bill of ex-change or cheque drawn or made in British [India] and made payable in, or drawn upon any person resident in British [India] shall be deemed to be an inland instrument, Negotiable Instruments Act, 1881 (26 of 1881), s. 11....
instrument
instrument 1 : a means or implement by which something is achieved, performed, or furthered [an of crime] 2 : a document (as a deed, will, bond, note, certificate of deposit, insurance policy, warrant, or writ) evidencing rights or duties esp. of one party to another under the law [no person is liable on an unless his signature appears thereon "Uniform Commercial Code"] [an indictment is a form of charging ] ;specif : negotiable instrument ...
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