TAXMA
CHAPTER 4.2
DEFINITIONS OF PROMISSORY NOTE, CHEQUE & BILL OF EXCH 䖾 Quick Revision of the chapter PROMISSORY NOTE: (SECTION 4)
A Promissory note is an instrument in writing (not being a bank note or cy note) containing an unconditional undertaking, signed by the make certain sum of money only to, or to the order of, a certain person, or to of the instrument. Parties:
Maker: The person who makes the promissory note and promise called the maker.
Payee: The person to whom the payment is to be made is called th
Requisites of a Promissory Note:
The promissory note must be in writing.
It must contain an undertaking to pay. There must be an express p pay.
The promise to pay should be unconditional.
The promissory note must be signed by the maker.
The sum payable must be certain.
The instrument must contain a promise to pay money and money