Key Traits of Negotiable Credit Instruments
Classified in Law & Jurisprudence
Written on in English with a size of 2.25 KB
Essential Characteristics
Incorporation
The rights are tied to the writing. The instrument contains a right given by the document. Possession of the writing evidences the right.
Legitimation
The person holding the instrument has the power to demand payment of the credit within.
Accuracy
The terms of the instrument cannot be modified or amended from the moment of its creation.
What is accurately written in the text of the instrument becomes the right.
Autonomy
The instrument is born when it is drafted and negotiated by its original maker.
There is a personal relationship between the maker and the first holder. This repeats as it transfers from one hand to another.
The instrument becomes more abstract, autonomous and independent from the reasons it was