Name: Elma P.

Rejano
Prof: Mr. Rene Boy Bacay

REACTION: VIDEO 222

TYPES OF NEGOTIABLE INSTRUMENTS

The Video is all about the types of negotiable instruments which are Bank Notes,
Treasury bills, Stock warrants, Dividend warrants, Debentures, and traveller’s cheque.
This video shows other examples of negotiable instrument which not tackles in the
module. It gives information and not only focus on Promissory notes, Bill of exchange
and cheque.
The Negotiable Instrument Act deals with only three types of negotiable instruments.
However, it does not exclude any other instrument if it is transferable by usage or
custom and the transferee acquires a good title. Accordingly, share warrant, dividend
warrant’ ‘bearer debentures, etc. are included in the category of negotiable instruments.
A bill of lading is not a negotiable instrument as it does not satisfy the twin conditions of
negotiability. It is transferable like a negotiable instrument but the transferee does not
acquire a good title. Hence, it is not regarded as a negotiable instrument but only as a
semi-negotiable instrument.
This instrument can be transferred freely from hand to hand and has a legal life that can
be transferred by more delivery or endorsement. These negotiable instruments are
useful in terms of negotiation and contracts in business. Negotiable Instrument is an
easier way to transfer money from one place to another place. It provides a safe way to
deliver the money. It has an important role to develop the way of money transaction as
well as the business realm.