Published on: Mar 3, 2016
Transcripts - Nan2
1. Who are the parties in a bill of exchange?
A: Drawer, Drawee, Payee[Sec.7]
2. ________is an instrument in writing containing an
unconditional undertaking signed by the maker to pay a
certain sum of money only to, or to the order of a certain
person, or to the bearer.
A: Promissory Note[Sec.4]
3. ________is an instrument in writing containing an
unconditional order, signed by the maker, directing a
certain person to pay a certain sum of money only to, or to
the order of a certain person or to the bearer.
A: Bill of Exchange[Sec.5]
4.________is a person entitled in his own name to the
possession of a promissory note, bill of exchange or cheque
and to receive or recover the amount due thereon from the
5. _______is generally a person who for consideration
became possessor of a promissory note, bill of exchange or
A: Holder in due course[Sec.9]
6. Negotiable Instrument is defined in _________.
7. What is the process by which a negotiable instrument is
transferred to any person so as to constitute such person the
8. Liability of drawer to compensate the holder in case of
dishonour is primarily provided under_______.
A: Sec 30
9. A negotiable instrument made, drawn, accepted,
endorsed or transferred without consideration, or for a
consideration which fails, creates _________ of payment
between the parties to the transaction.
A: No obligation[Sec.43]
10. __________is one mode by which the maker of a
negotiable instrument discharges himself from liability.
A: Cancellation.;Release and Payment are other
11. Material alteration on a negotiable instrument renders it
void.___________is an exception.
A: Common intention[Sec.87]
12. Penalties, Cognizance, Jurisdiction etc are discussed in
__________ of the Act.
A: Chapter 17
13. Issuance of notice by the holder in case of dishonour is
primarily provided in _________.
14. Sec.118 of the Act deals with_______.
15. A cheque is crossed_________when it bears across its
face an addition of the name of a banker, either with or
without the words "not negotiable".
16. Condonation of delay in making complaint is provided
A: Proviso to Sec.142
17. Compounding of offences is provided under________.
18. When the amount is stated differently in words and
figures, the amount stated in _________is to be taken.
19. Unless contrary is proved, holder of negotiable
instrument _________presumed to have received the
cheque referred under Sec.138 for discharge of any debt or
A: Shall be[Sec.139]
20. Signing a document written, read and understood is