Negotiable Instrument Act
The word 'negotiable' means, "transferable from one person to another in return for consideration". The word 'instrument' means, "a written document by which a right is created in favour of some person". Hence, the term Negotiable Instrument means "a document in writing which creates a right in favour of some person", and which is freely transferable by delivery.
According to Section 13(1) of the Negotiable Instrument Act, "A negotiable instrument means a promissory note, bill of exchange or cheque payable either to order or to bearer".
- Types of Negotiable Instrument
- Negotiable Instrument Terms
- Cheque and Crossing of a Cheque
- Discharge of Negotiable Instrument
- Maturity of Negotiable Instrument
- Drawer, Drawee, Holder and Holder in due course and other Topics