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You are here: Home / Commentry on Law / Company Law / Negotiable Instruments | Definition, Examples & Essentials

Negotiable Instruments | Definition, Examples & Essentials

April 10, 2015 by Admin Leave a Comment

Negotiable Instrument

A negotiable instrument means a promissory note, bill of exchange or cheque payable either to order or bearer.

Characteristics of Negotiable Instrument

  • Easy transferability
  • Rights of the holder
  • Better title to transferee
  • Unconditional promise or order
  • Certain amount
  • Presumptions

Examples of Negotiable Instruments

Bill of exchange, promissory notes, cheques, Dividend warrants, share warrants, bearer debentures, banks drafts etc.

Filed Under: Company Law

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