Negotiable Instruments - Law

Front 1

Draft

Back 1

BOE drawn by bank against its branch or another bank

Front 2

Trade acceptance

Back 2

BOE drawn by seller on the purchase of goods

Front 3

Banker's acceptance

Back 3

BOE drawn against bank and accepted by the latter

Front 4

Clean BOE

Back 4

BOE no document is attached when presented for payment of acceptance

Front 5

Documentary BOE

Back 5

BOE documents are attached when presented for payment or acceptance

Front 6

Sight Bills

Back 6

BOE payable upon presentation or at sight or on demand

Front 7

Time or usance bills

Back 7

BOE payable at fixed future time or determinable future time

Front 8

Rationale NI are in writing

Back 8

Written evidence - certain and accurate than that which rests in fleeting memory only

Front 9

Assigns, Assignees, Holder

Back 9

Equivalent term used for order or bearer

Front 10

Bearer instrument

Back 10

Payable to bearer or fictitious or impersonal payee, indorsement by blank, to an estate or to cash

Front 11

Specified person

Back 11

Payable only to a specified person is not negotiable

Front 12

Drawer's own note or accepted bill

Back 12

No drawee is named

Front 13

Legal rate

Back 13

Rate used if interest stipulated but not specified

Front 14

Principal is certain.

Back 14

Interest is certain if:

Front 15

Installment to be negotiable

Back 15

Installments must be specified or could be made certain. Maturity of each installment is known.

Front 16

Stated installments with acceleration clause

Back 16

Negotiable even with acceleration clause. Default in any installment will make the whole sum due

Front 17

The transferee is no longer a holder in due course

Back 17

Overdue instrument is not fully negotiable.

Front 18

Not negotiable

Back 18

Direct payment out of particular fund.

Front 19

Fund for payment

Back 19

It is non negotiable because the particular fund may not be sufficient to cover the amount of money to be paid.

Front 20

Negotiable

Back 20

Particular account to be debited. Negotiable or not?

Front 21

No

Back 21

Does a statement that give rise to transaction impair negotiablity?

Front 22

Not cure its defect

Back 22

Happening of a contingency or condition will

Front 23

Non Negotiable

Back 23

Promise to do an act in addition to payment of money is..

Front 24

Sale of collateral securities in case instrument be not paid in maturity. Confession of Judgement. Waives the benefit of law intended at the advantage or protection of obligor. Gives the holder election to require something to be done in lieu of money

Back 24

Additional acts which will not destroy the negotiability

Hint 24

C, J, W, In L

Front 25

No date, no words for value received, no place where the instrument is drawn, no seal, no designation of a particular kind of currency in which payment is to be made

Back 25

Non appearance of omissions of ____ will not render the instrument non negotiable.

Hint 25

D. Con. P. S. Cur.

Front 26

Date of issuance

Back 26

No date stated in the instrument.

Front 27

Valuable cosideration

Back 27

Presumption that instrument is issued for a

Front 28

Address/ Usual place of business or residence to make payment/ wherever he can be found of last place of business or residence

Back 28

No place where instrument is drawn

Front 29

Payable on demand

Back 29

Stated payable on demand. On sight or presentation.

Issued, accepted, indorsed when overdue

Front 30

Payee must be named or indicated with reasonable certainty

Back 30

"To order" payee must be...

Front 31

Ante- dated instrument

Back 31

Date of instrument nauna kesa issuance

Front 32

Post dated instrument

Back 32

Issuance muna before the date in the instrument

Front 33

Illegal or fraudulent purpose

Back 33

Ante and post dating invalidates instrument if..

Front 34

To know the maturity. Determine prescription of cause of action. When the interest shall begin to run. Determine if party acted within a reasonable time.

Back 34

Importance of date of instrument

Front 35

Insert true date of issuance or true date of acceptance

Back 35

Undated issuance or acceptance.

Front 36

Penalty for neglect in leaving instrument undated

Back 36

If wrong date is inserted?

Front 37

Instrument is genuine and in all respect what it purports to be. Instrument is valid and subsisting.

Back 37

Warranties of Indorser

Front 38

Instrument is filled up not in accordance with the authority given.

Back 38

Personal Defense

Front 39

Incomplete and revocable

Back 39

Without valid delivery ( actual / constructive) the instrument is

Front 40

Estafa

Back 40

Defraud another by removing, concealing, or destroying in whole or part a negotiable instrument

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Per procuration

Back 41

Agent that has limited authority

Front 42

Cannot be held liable because of incapacity

Back 42

Minor or corporation who endorsed..

Front 43

Inoperative. No right to retain the instrument. No right to give a discharge. No right to enforce their payment against any party.

Back 43

Effects of forgery

Front 44

Prior, the person whose signature was forged, the forger and subsequent parties are liable

Back 44

Forgery - if to BEARER

Front 45

Forger and subsequent parties are liable

Back 45

Forgery - if To ORDER

Front 46

Holders not in due course. It is a personal defense only

Back 46

Total absence or failure of consideration. Defense is against..

Front 47

Party who signed as maker, drawer, acceptor or indorser without receiving value therefor and for the purpose of LENDING his name to some other persons.

Back 47

Accomodation party

Front 48

HFV. Not discharged after payment to HFV because he can ask for reimbursement to the accomodated party

Back 48

Accomodation party is liable to

Front 49

Assignment, Operation of Law, Negotiation

Back 49

Method of transfer

Hint 49

A, OL, N

Front 50

Negotiation

Back 50

Transfer to 2 / more indorsees severally does not operate as a..

Front 51

Special, blank, restrictive, qualified, conditional, absolute, joint, successive, irregular, facultative

Back 51

Kinds of indorsement

Hint 51

SPEC, B, R, Q, C, A, J, SUC, I, F

Front 52

Restrictive indorsement- to... only. For collection. In trust for ....

Back 52

Prohibits negotiability of instrument to a particular person or for a particular purpose.

Front 53

Limit the liability of indorser by adding words.. without recourse. Sans recourse. Indorsee's own risk.

Back 53

Qualified indorsement..

Front 54

Irregular indorsement/ anomalous indorsement.

Back 54

Indorsement by blank before delivery

Front 55

Made by all parties except: the payee/ indorsee has the authority to indorse to others. Or where the payees/ indorsees are partners

Back 55

Indorsement by joint payee must be

Front 56

Indorse as therein described. Or add his real name and proper signature.

Back 56

Misspelled name of indorsee/ payee

Front 57

Agent must disclose his principal. Add words describing himself as principal. Must be duly authorized

Back 57

Indorsement by agent. To escape personal liability

Front 58

Subject to all defenses

Back 58

In assignment. Defenses?

Front 59

Relieved from liability: a. Indorser whose indorsement is struck out b. All indorsers subsequent to him.

Back 59

Effect of striking out of indorsers