negotiable instrument

noun

Legal Definition of negotiable instrument

: a transferable instrument (as a note, check, or draft) containing an unconditional promise or order to pay to a holder or to the order of a holder upon issue, possession, demand, or at a specified time was determined to be a holder in due course of a negotiable instrument — see also bearer, holder in due course

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“Negotiable instrument.” Merriam-Webster.com Legal Dictionary, Merriam-Webster, https://www.merriam-webster.com/legal/negotiable%20instrument. Accessed 1 Mar. 2021.

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