Negotiable Instrument Act

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A negotiable instrument is a paper agreement the payment of a specific amount of money, either on order, or at a set time. According to the Negotiable Instruments Act, there are just three types of negotiable instruments
 Promissory note,
 Bill of exchange
Cheque
It is a document contemplated by a bond,
(1) Warrants the payment of money, the promise of or order for passage of which is unrestricted;
 (2) Specifies or describes the payee, who is selected on and memorialized by the instrument;
(3) Is capable of change through move by valid negotiation of the instrument.
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