...Subject: Principles of Insurance and Banking Course Code: FM-306 Lesson: 1 Author: Dr. S.S. Kundu Vetter: Dr. B.S. Bodla NEGOTIABLE INSTRUMENTS ACT, 1881 STRUCTURE 1.0 1.1 1.2 1.3 1.4 1.5 Objectives Introduction Meaning of Negotiable Instruments Characteristics of a negotiable instrument Presumptions as to negotiable instrument Types of negotiable Instrument 1.5.1 Promissory notes 1.5.2 Bill of exchange 1.5.3 Cheques 1.5.4 Hundis 1.6 Parties to negotiable instruments 1.6.1 Parties to Bill of Exchange 1.6.2 Parties to a Promissory Note 1.6.3 Parties to a Cheque 1.7 1.8 Negotiation 1.7.1 Modes of negotiation Assignment 1.8.1 Negotiation and Assignment Distinguished 1.8.2 Importance of delivery in negotiation 1.9 Endorsement 1.10 Instruments without Consideration 1.11 Holder in Due Course 1.12 Dishonour of a Negotiable instrument 1.13 Noting and protesting 1.14 Summary 1.15 Keywords 1.16 Self Assessment Questions 1.17 References/Suggested readings 1.0 OBJECTIVES After reading this lesson, you should be able to• • • • Understand meaning, essential characteristics and types of negotiable instruments; Describe the meaning and marketing of cheques, crossing of cheques and cancellation of crossing of a cheque; Explain capacity and liability parties to a negotiable instruments; and Understand various provisions of negotiable instrument Act, 1881 regarding negotiation, assignment, endorsement, acceptance, etc. of negotiable instruments. 1.1 INTRODUCTION The Negotiable Instruments Act...
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...Subject: Principles of Insurance and Banking Course Code: FM-306 Lesson: 1 Author: Dr. S.S. Kundu Vetter: Dr. B.S. Bodla NEGOTIABLE INSTRUMENTS ACT, 1881 STRUCTURE 1.0 1.1 1.2 1.3 1.4 1.5 Objectives Introduction Meaning of Negotiable Instruments Characteristics of a negotiable instrument Presumptions as to negotiable instrument Types of negotiable Instrument 1.5.1 Promissory notes 1.5.2 Bill of exchange 1.5.3 Cheques 1.5.4 Hundis 1.6 Parties to negotiable instruments 1.6.1 Parties to Bill of Exchange 1.6.2 Parties to a Promissory Note 1.6.3 Parties to a Cheque 1.7 1.8 Negotiation 1.7.1 Modes of negotiation Assignment 1.8.1 Negotiation and Assignment Distinguished 1.8.2 Importance of delivery in negotiation 1.9 Endorsement 1.10 Instruments without Consideration 1.11 Holder in Due Course 1.12 Dishonour of a Negotiable instrument 1.13 Noting and protesting 1.14 Summary 1.15 Keywords 1.16 Self Assessment Questions 1.17 References/Suggested readings 1.0 OBJECTIVES After reading this lesson, you should be able to• • • • Understand meaning, essential characteristics and types of negotiable instruments; Describe the meaning and marketing of cheques, crossing of cheques and cancellation of crossing of a cheque; Explain capacity and liability parties to a negotiable instruments; and Understand various provisions of negotiable instrument Act, 1881 regarding negotiation, assignment, endorsement, acceptance, etc. of negotiable instruments. 1.1 INTRODUCTION The Negotiable Instruments...
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...Chapter-01 Introduction Introduction The internship program is an integral part of Bachelor of Business Administration (BBA). For Bachelor of Business Administration (BBA) student only theoretical knowledge is not enough for handling the real life business situation. It is a great opportunity for the student to know about the real business operations through the internship program. Internship program is the perfect blend of the theoretical and the practical life experience. It is mandatory for any BBA student of University of Dhaka. For that reason this report is prepared on the Analysis of Foreign Exchange Operations of Sonali Bank Limited (SBL). Different terms that are related to the foreign exchange business and the detail scenario of the Sonali Bank Limited described in the report. Background of the Report The development of the modern economy would not have possible without the use of money. A first fundamental characteristic of money is that it is very much like collective and goods. It is a parallel relationship between money and banking. Bank is an important and essential institution for the necessity of the use of money and the protection of the money. As a BBA student, financial institutions are the most appropriate field to gather the experience and among the financial institution, bank is the most prominent place. With a view to supply skilled personals in banking arena, University of Dhaka has undertaking the internship training program for all BBA students. As...
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...Understanding Letter of Credit EXM104 FA Export Documentation & Methods of Payment Instructor: Emiliano Introcaso Seneca College ASSIGNMENT 02 Xueyuan Tan 041-806-084 Xtan9@learn.senecac.on.ca Due Date August 2nd 2011 – Week 9 Letters of credit accomplish their purpose by substituting the credit of the bank for that of the customer, for the purpose of facilitating trade. There are basically two types: commercial and standby. The commercial letter of credit is the primary payment mechanism for a transaction, whereas the standby letter of credit is a secondary payment mechanism. Commercial letters of credit have been used for centuries to facilitate payment in international trade. Their use will continue to increase as the global economy evolves. Letters of credit used in international transactions are governed by the International Chamber of Commerce Uniform Customs and Practice for Documentary Credits. The general provisions and definitions of the International Chamber of Commerce are binding on all parties. Domestic collections in the United States are governed by the Uniform Commercial Code. A commercial letter of credit is a contractual agreement between a bank, known as the issuing bank, on behalf of one of its customers, authorizing another bank, known as the advising or confirming bank, to make payment to the beneficiary. The issuing bank, on the request of its customer, opens the letter of credit. The issuing bank makes a commitment to honor drawings...
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...B.LAW B.LAW UCP 600 Explanation of articles relating to L/C. Submitted to: Prof. Javed B.LAW ASSIGNMNET/PRESENTATION UCP 600 Explanation of articles relating to L/C. Submitted to: Prof. Javed B.LAW ASSIGNMNET/PRESENTATION ASSIGNMNET/PRESENTATION ASSIGNMNET/PRESENTATION Group Members NAMES REGISTRATION No. Malik HASSAN MUKHTAR L1F11MBAM2029 MARYAM FAROOQ L1F11MBAM2067 AHSAN AFZAAL L1F11MBAM ANIQUW SAJJAD L1F11MBAM AZHAR HAYAT L1F11MBAM ALEEM UR REHMAN L1F11MBAM Group Members NAMES REGISTRATION No. Malik HASSAN MUKHTAR L1F11MBAM2029 MARYAM FAROOQ L1F11MBAM2067 AHSAN AFZAAL L1F11MBAM ANIQUW SAJJAD L1F11MBAM AZHAR HAYAT L1F11MBAM ALEEM UR REHMAN L1F11MBAM UCP 600 - Article 1 ICC Publication no. 600 ("UCP") are rules that apply to any letter of credit. They are binding on all parties thereto unless expressly modified or excluded. UCP 600 - Article 2 Advising bank/sellers Bank means the bank that advises the credit at the request of the issuing bank. Applicant/Buyer means the party on whose request the credit is issued. Banking day means a day on which a bank is regularly open at the place at which an act subject to these...
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...direction of how, who, and when to treat us in our final days and hours. We can have documents drawn up to say what we want in the event we are in a state where we cannot voice our wishes aloud. These documents have legal and ethical basis, and they should be followed unless the legally or ethically unable to do so. Advance Directives gives a documented guide to the care giver’s or family member’s, so that they all can provide the kind of care that the medically impaired patient wants. This covers a wide variety of medical treatments such as dialisis, ventilators, feeding tubes and organ and or tissue transplants. If a patient has kidney failure they might or might not want to be on dialysis. The advance directive would spell out whether the patient would want such treatment if he or she was not able to convey this to the medical personnel. If the patient was at the end of life and did not want to be kept alive via artificial means such as a ventilator of feeding tube, the advance directive would have the patients wants of this type of treatment also. If the patient passed away and wanted his or her organs donated, then this directed would defanitely give the right to have their organs harvested and donated to someone in need. Even though there might be an advanced directed for a patient that is not able to express their wishes to their family or care givers, there can still be some legal and ethical issues with the wishes of the patient. First, the patient family and...
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...life and health. “Advanced directives limit the type and amount of medical care and treatment that patients will receive if they should become incompetent and have a poor prognosis.” (Fremgen 313) With having an advanced directive it helps communicates a person’s wishes about making decisions if they become incapable of making their own health care decisions; which also makes it easier for family members to have everything planned out. Many make a decision and only tell their family what they want without having it in writing, but its best to have everything in writing for a smoother process. There are two important types of advance directives; a power of attorney or a living will. A durable power of attorney for healthcare “is a legal document that empowers another person (proxy) to make healthcare decisions for an incompetent patient. It goes into effect after the person becomes incompetent and only pertains to healthcare decisions”. (Fremgen 102) The power of attorney becomes effective when someone becomes incapable of making their own health care decisions. Medical power of attorneys covers a great amount of healthcare decisions based on the patient wishes. The power of attorney is capable of reviewing the patients’ medical records, discussing and questions to the doctor and medical staff about the care and treatment plans. It is up to the power of attorney to decide on which treatment plan or care is best for the patient or assists the patient in deciding what is best...
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...a buyer's or importer's bank (called the issuing bank) to the seller's or exporter's bank (called the accepting bank, negotiating bank, or paying bank). A letter of credit guarantees payment of a specified sum in a specified currency, provided the seller meets precisely-defined conditions and submits the prescribed documents within a fixed timeframe. These documents almost always include a clean bill of lading or air waybill, commercial invoice, and certificate of origin. To establish a letter of credit in favor of the seller or exporter (called the beneficiary) the buyer (called the applicant or account party) either pays the specified sum (plus service charges) up front to the issuing bank, or negotiates credit. Letters of credit are formal trade instruments and are used usually where the seller is unwilling to extend credit to the buyer. In effect, a letter of credit substitutes the creditworthiness of a bank for the creditworthiness of the buyer. Thus, the international banking system acts as an intermediary between far flung exporters and importers. However, the banking system does not take on any responsibility for the quality of goods, genuineness of documents, or any other provision in the contract of sale. Since...
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...buyer and banker, the contract between banker and seller and between issuing and correspondent banks. One of the main principle of letter of credit or documentary credit on which credit transaction is based is Doctrine of strict compliance which provides that in order to obtain the payment from the bank, the documents presented to the bank by the seller-beneficiary on their face strictly confirm with the terms of the credit. MEANING OF STRICT COMPLIANCE:- In general, Doctrine of Strict Compliance referred to as a legal principle which provides that the bank is entitled to reject documents which do not strictly conform to the terms of the credit. The doctrine provides that in order to receive the payment from the bank the seller/beneficiary is required to tender documents which are in conformity with the terms of the letter of credit. And under this principle of strict compliance the bank is at liberty to reject the documents which do not strictly complied with the terms of the credit. The principle of doctrine of strict compliance was first formulated in 1927 by an English court in Equitable Trust Company of New York v Dawson Partners Ltd as; "There is no room for documents which are almost the same, or which will do just as well... if the bank does as it is told, it is safe; if it declines to do anything else,...
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...UCP 600 UCP 600 are the latest revision of the Uniform Customs and Practice that govern the operation of letters of credit. UCP 600 comes into effect on 01 July 2007 The 39 articles of UCP 600 are a comprehensive and practical working aid to bankers, lawyers, importers, and exporters, transport executives, educators, and everyone involved in letter of credit transactions worldwide. ICC Uniform Customs and Practice for Documentary Credits (UCP 600) Foreword This revision of the Uniform Customs and Practice for Documentary Credits (commonly called “UCP”) is the sixth revision of the rules since they were first promulgated in 1933. It is the fruit of more than three years of work by the International Chamber of Commerce’s (ICC) Commission on Banking Technique and Practice. ICC, which was established in 1919, had as its primary objective facilitating the flow of international trade at a time when nationalism and protectionism posed serious threats to the world trading system. It was in that spirit that the UCP were first introduced – to alleviate the confusion caused by individual countries’ promoting their own national rules on letter of credit practice. The objective, since attained, was to create a set of contractual rules that would establish uniformity in that practice, so that practitioners would not have to cope with a plethora of often conflicting national regulations. The universal acceptance of the UCP by practitioners in countries with widely divergent economic and judicial...
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...Documents Checklist For Uncontested Divorce (with children) This is just a checklist. For instructions on how to fill out and file the documents, please refer to the INSTRUCTIONS that accompany this checklist. In this checklist, “You” are the Plaintiff, and the “Defendant” is your spouse. A. FIRST: File these at the Legal Documents Branch of the First Circuit Take these documents to the Legal Documents Branch located on the first floor of the Ronald T.Y. Moon Kapolei Courthouse, 4675 Kapolei Parkway or the first floor of Ka‘ahumanu Hale, 777 Punchbowl Street. A Court clerk will file-stamp each document, keep the original for the Court’s file, and return the copies to you. Applicable filing fees are due at this time. NAME OF DOCUMENT How Many Signed by COMPLAINT FOR DIVORCE Original + 3 copies SUMMONS TO ANSWER COMPLAINT FOR DIVORCE Original (Court + clerk will 3 copies sign) MATRIMONIAL ACTION INFORMATION Original + 1 copy NOTICE TO ATTEND KIDS FIRST Original (Court clerk will + sign) 2 copies You Comments Filing this at the Legal Documents Branch of the Court starts the divorce process. The Court clerk will assign a Case Number. Fill in this number on the other documents that you that you will file later. Staple a copy behind each copy of the Complaint for Divorce before you take them to be filed. You After the Court clerk fills in the case number, the Court clerk will assign a date...
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...Jail Responsibilities Monique Priorello September 23, 2012 One of the main responsibilities of a jail is to give the officers the correct “Police Correspondence” courses. This is because these courses give the officers the effective basic training that they need to do things such as; Writing of Memoranda, Police Reports, and Civilian Letters. What needs to be done first is make sure that there are NO errors. This means in spelling, punctuation, price, and grammar. These should be thoroughly, and constantly, edited. Another thing is conciseness; this means it should be brief or limited in words. Although, concision does not mean deleting words that count just to make your statements ‘rough in manner’. Officers should avoid tired old phrases, also known as triteness. Examples of these are; “in the final analysis”, “cold as ice”, “hard as a rock”, and “last but not the least”. They should also avoid misleading expressions (euphemisms) such as “meet our Creator” which means death and “Policy of Disinformation” which means lying to the public. Weak phrases should be avoided also. Weak phrases are ones such as; “wealthy business person”, “Carrying a child” and “one year old boy”. Instead, what can be used are phrases such as “tycoon”, “pregnant” and “one year of age boy”. Police officers must NEVER discriminate because of gender. Neutral terms should be used to manifest, fairness and equality between sexes. Examples are; “If a woman drives” to “if a person...
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...១.២.២. និយមន័យលិខិតឥណទាន លិខិតឥណទាន គឺជាការស្នើរសុំដោយអ្នកនាំចូល ឬអ្នកទិញទៅកាន់ធនាគារក្នុងប្រទេសរបស់ខ្លួនអោយចេញនូវលិខិតមួយសំរាប់បញ្ជាក់ចំពោះការទូទាត់ទៅអោយអ្នកទទូលផល ឬអ្នកលក់។ នៅពេលមួយកំណត់ជាក់លាក់ ព្រមជាមួយនិងឯកសារតម្រូវនៅក្នុងលក្ខខណ្ឌនៃលិខិតឥណទានមានភាពត្រឹមត្រូវក្រោមការត្រួតពិនិត្យរបស់ធនាគារអ្នកនាំចូល។ ការដែលធ្វើអោយមានការប្រើប្រាស់នេះ ធ្វើអោយមានទំនុកចិត្តគ្នារវាងអ្នកនាំចូល និងអ្នកនាំចេញកាន់តែខ្លាំងសំរាប់ដំណើរការនៃពាណិជ្ជកម្មអន្តរជាតិ។ ១.២.៣. មុខងាររបស់លិខិតឥណទាន លិខិតឥណទានមានមុខងារមួយចំនួនគឺ៖ - ការទូទាត់ភ្លាមៗ (Prompt Payment) : អ្នកលក់នឹងទទួលបានការទូទាត់ភ្លាមបន្ទាប់ពីបានដឹកជញ្ជូនទំនិញ។ ប្រសិនបើគ្មានលិខិតឥណទានទេ អ្នកទទួលផលត្រូវការការទូទាត់មុនការដឹកជញ្ជូនទំនិញ ឬត្រូវរង់ចាំរហូតដល់អ្នកទិញទទួលបានទំនិញទើបទទួលបានការទូទាត់។ - ជំនួយជាហិរញ្ញប្បទាន (Substituting Credit) : អ្នកលក់អាចនឹងមានភាពស្ទាក់ស្ទើរក្នុងការលក់ទំនិញជំពាក់ (Open Account) ប្រសិនបើអ្នកលក់មិនបានដឹងច្បាស់ពីស្ថានហិរញ្ញវត្ថុ។ លិខិតឥណទានអាចជួយអោយអ្នកលក់មានទំនុកចិត្តក្នុងការលក់ទំនិញអោយទៅអ្នកទិញ។ - ការផ្ទេរចំណាយខាងផ្លូវតុលាការ (Shifting Litigation Costs) : រាល់កិច្ចសន្យាទិញលក់មានការប្រឈមមុខនិងហានិភ័យលើមុខទំនិញដែលមិនអាចអនុលោមតាមកិច្ចសន្យា។ ប្រសិនបើគេប្រើប្រាស់វិធីសាស្រ្តទូទាត់បែបជំពាក់(Open Account) អ្នកលក់ភាគច្រើននឹងចំណាយលើការប្តឹងផ្តល់ដោយសារមិនទទួលបានការទូទាត់ថ្លៃទំនិញ។ ចំពោះលិខិតឥណទានវិញ ចំណាយលើការប្តឹងផ្តល់ជាបន្ទុករបស់អ្នកទិញដោយសារអ្នកលក់ទទួលបានការទូទាត់ភ្លាម នៅពេលគាត់បង្ហាញរាល់ឯកសារបានត្រឹមត្រូវតាមលក្ខខណ្ឌរបស់លិខិតឥណទានទៅកាន់ ធនាគារអ្នកទិញ (Issuing Bank)។ - ការចរចាជាមួយអ្នកលក់ (Shifting the Forum) : អ្នកទទួលបានថ្លៃទំនិញអាចនឹងមានប្រៀបខាងផ្លូវច្បាប់។...
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...SAMPLE LETTER OF INTENT FOR PURCHASE OF REAL PROPERTY Date _____________________________ _____________________________ _____________________________ Re: Letter of Intent (Property Description) (City/County) Our File No. * Dear _________________: Subject to the execution of a definitive and mutually acceptable agreement of purchase and sale ("Purchase Agreement") within ________ (___) days after execution of this Letter of Intent (the "Contract Negotiation Period"), the undersigned offers to purchase the subject property in accordance with the following terms and conditions: 1. Seller(s): ___________________________________, with contact information as follows: ____________________________________________________________. 2. Buyer: _____________________________________, with contact information as follows: ____________________________________________________________. Buyer may assign his interest to any corporation, partnership or limited liability company in which he is the controlling party or to any other third party without Seller approval. 3. Subject Property: The property, which is the subject of this offer ("Subject Property"), is identified as _______________________________ (APN No. __________). Together with the real property, Buyer is also purchasing all of Seller's rights, title and interest in all of the fixtures, improvements, leases, maps, reports, plans, and other such material is having to do with the Subject Property including all land use entitlements...
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...The latest in the series are: (i) the Banking, Public Financial Institutions and Negotiable Instruments Laws (Amendment) Act, 1988 (effective from 1st April, 1989), and (ii) the Negotiable Instruments (Amendment and Miscellaneous Provisions) Act, 2002 (effective from 6th February, 2003). The provisions of all the Amendment Acts have been incorporated at relevant places in Part IV of this book. The Negotiable Instruments Act, 1881, as amended up-to-date, deals with three kinds of negotiable instruments, i.e., Promissory Notes, Bills of Exchange and Cheques. Definition: The word negotiable means ‘transferable by delivery,’ and the word instrument means ‘a written document by which a right is created in favour of some person.’ Thus, the term “negotiable instrument” literally means ‘a written document transferable by delivery.’ According to Section 13 of the Negotiable Instruments Act, “a negotiable instrument means a promissory note, bill of exchange or cheque payable either to order or to bearer.” “A negotiable instrument may be made payable to two or more payees jointly, or it may be made payable in the alternative to one of two, or one or some of several payees” [Section 13(2)]. The Act, thus, mentions three kinds of negotiable instruments, namely notes, bills and cheques and declares that to be negotiable they must be made payable in any of the following forms: (a) Payable to order: A note, bill or cheque is payable to order which is expressed to be ‘payable...
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