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Friday, February 8, 2013

Negotiable Instrument



A claim, the title to which passes by delivery. Examples of such claims include bills of exchange, cheques, promissory notes, dividend warrants and debentures payable to bearer. Transfer is by delivery only. A bill of exchange payable to a certain person, only is not a negotiable instrument. Neither is a cheque with not negotiable written on it. Bill of Lading, Dock Warrants, and Postal Orders are not negotiable.

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