What Constitutes a Negotiable Instrument: A Case Study
A “Negotiable Instrument” is a commercial paper, which facilitates issue and receipt of consideration, but is not legal tender itself. A Negotiable Instrument is easily transferable from one person to another. These instruments are called ‘negotiable’ due to this easy transferability from one individual to another. Article 3.0 and 4.0 of the United Commercial Code (UCC) governs the Negotiable Instruments Act, in the United States.
What is a Negotiable Instrument
An instrument must satisfy the following criteria to be termed as a “negotiable instrument”
1. It has to be in writing and endorsed by the issuer.
2. It has to be unconditional. For example, say party A, issues a NI to party B for $1,800 with the understanding that party B will invest the money in stocks approved by party A in the first year and repay the money to party A in the second year at a certain date and time, on demand. This is a pre-condition between party A and party B. Therefore, there is a condition associated with it, which disqualifies it from being a negot...
Defining Issue: In order to make an agreement binding one element that must be used is consideration. Without consideration an agreement may not be enforceable, even if there has been an offer and acceptance. What a promiser demands and receives is the price for the promise, which is consideration. A person who makes the promise is called the promisor, while the person to whom the promise is made to is called the promisee. However, the promisor is not entitled to consideration.
Together with the common law, the Uniform Commercial Code is one of the primary sources of contract law in the United States. The Uniform Commercial Code is commonly known as the UCC, that have been promulgated in conjunction with a purpose to harmonize the law of sales and other commercial exchanges within the U.S. As a model law, it's really proposal that each state has to choose whether to adopt or not but the code was enormously successful that it has been enacted in all of the 50 states, although with variations. Once they are adopted by the states they become state statute. Among other things, Article 2 of the UCC governs transactions for the sales of goods that are moveable items and they have to be tangible. The UCC also provides different provisions relying upon whether parties to a contract are merchants or non-merchants (referred to individuals who don't have expert knowledge about the goods he/she deals in).
By separating the people from the problem, you try to remove the emotions from the negotiation. You try to build a team environment between your party and the other party so that everyone focuses on the issue at hand instead of a battle between "sides".
agrees to lend the money on the basis that if the 3,000 ducats are not
(Insert Citation p 305). Consideration refers to the attained good or service agreed upon by each party under a contract. Contractual Capacity is the legal ability to enter into a binding agreement. Some factors that affect contractual capacity are: age, mental health and agreements under alcohol intoxication. Last but not least is the legal object, which means that for a contract to be enforceable it must be of legal intent and comply with public policy. If all of these factors are present in a contract, we can conclude that a binding contractual agreement exists and it is enforceable by law.
What are your organized bargaining units (union representation)? Union representation is present in this agency. FPS employees are union with the exception of management. Contracted Protective Security Officers also are under a collective bargaining agreement.
The topic for my real world negotiation is to come to an agreement with my supervisor for a promotion as well as an increased salary. I currently work as a student assistant at the student services Planning, Enrollment Management, and Student Affairs (PEMSA) department. My goal is to increase my hourly pay from $10.15 to $12.70, a 25% increase. Having worked in this department for three years, I have taken on tasks not part of my job description such as processing return mail, data entry, and supervision.
"Can one man, one hard drinking, chain smoking, backwoods accountant, stop a national conspiracy, change the course of history, and save a way of life? It's do-able... but it ain't gonna be purdy." The tagline for the 38 minute 2001 Oscar winner for Best Live Action Short Film, The Accountant, helps illustrate two men sharing a common goal, saving the farm to preserve a way of life.
There is issue whether the BOL is a negotiable or is it merely a transferable document. One person can transfer a transferable document to another, passing to the transferee the rights of the original holder but no more, in negotiable documents, the transferee rights that are better or greater than the right of the transferor. According to English law, a BOL is not negotiable, even though the BOL has some characteristics of a negotiable document, it is stated that it does not have the essential elements. This is stated so because, the transferee of the bill cannot acquire a better title than that of the predecessor; if stolen or endorsed without the shipper’s authority, a subsequent bona fide holder of the lost or stolen bill cannot acquire the rights to the goods by presenting the bill; a finder or thieve cannot give title to BOL even in the case of a bill endorsed in blank. However according to American Law, under the provisions of Federal Bills of Lading Act (FBLA) and Uniform Commercial Code (UCC), bill of lading are defined as negotiable documents, even if it is clear on legislation that BOL is negotiable, American courts were reluctant to put these legislation to
Unilateral – some offers are purely one sided, made without the offeror’s having any idea whether they will ever be taken up and accepted, and thereby be transformed into a contract. For example when an advertisement where a person is rewarding another one if he finds his pet (which was lost). In this case the person who is making such an offer is not sure whether this offer will be ever accepted.
Since Carlill V Carbolic, acceptance has developed and can be achieved in various ways: in writing, oral or it may be inferred by conduct (lisa sturgreon). This requirement of complete performance was emphasised in Daulia V Four Millbank Nominees Ltd [1978] where Goff LJ stated: ‘I think the true view of a unilateral contract must in general be that the offeror is entitled to require full performance of the condition he has imposed and short of that he is not bound’ (see more Paul Richards). Furthermore, there is no need to give advance notice of such acceptance to the
Implied terms – they are not expressed but they are adopted as “obvious” an individual must comply with (e.g) if buying a product and it is not in a good taste the consumer has the right to return it to the owner for exchange or refund.
Not negotiable is when these words are written across the cheque, either with or without the name of the banker. This manner is a signal where the financial institution not to pay the cheque other than into an account. In section 55 of Cheque Act explain clearly the effect of a ‘not negotiable’ crossing: the crossing cheque is transferred by negotiation to a person, the person does not receive and is not capable of giving, a better title to the cheque than the title that person from whom the first-mentioned person took the cheque had.
Unconscionability has been defined as “the absence of a meaningful choice on the part of one party together with contract terms that are unreasonably favourable to the other party.” Basically, unconsionabiliy is a stronger party enter into a ...
In the case of one party promising to give another party £50, it is merely seen as a gift, therefore this is considered unenforceable as a simple contract. This may be justifiable as there is nothing which clearly illustrates that, it is a necessity for a party to give something, in order for them to be able to enforce a promise. This is also known as the “quid pro quo,” it has been similarly illustrated in; Dunlop v Selfridge [1915] AC 847 (HL).