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Mahesh Kumar Sarva, Lovely Professional University Unit 10: Negotiable Instruments
Unit 10: Negotiable Instruments Notes
CONTENTS
Objectives
Introduction
10.1 Cheques
10.1.1 Definition of a Cheque
10.1.2 Features of a Cheque
10.1.3 Parts of a Cheque
10.1.4 Types of Cheque
10.1.5 Dishonour of Cheques
10.1.6 Crossing of Cheques
10.1.7 Endorsement of Cheques
10.2 Bills of Exchange
10.2.1 Definition of Bills of Exchange
10.2.2 Special Characteristics of Bills of Exchange
10.3 Promissory Note
10.3.1 Definition of Promissory Note
10.3.2 Parties to a Promissory Note
10.3.3 Essentials of a Promissory Note
10.4 Holder
10.5 Paying Banker and Collecting Banker
10.5.1 Rights and Liabilities of Paying and Collecting Banker
10.6 Summary
10.7 Keywords
10.8 Review Questions
10.9 Further Readings
Objectives
After studying this unit, you will be able to:
Define cheque, bills of exchange and promissory note
Explain the features of cheque
Discuss the concept of holder and holder in due course
Discuss rights and liabilities of paying and collecting banker
Describe crossing and dishonour of cheques
Explain endorsement of a cheque
LOVELY PROFESSIONAL UNIVERSITY 155
