Instrument negotiable till payment or satisfaction
Full Text
Instrument negotiable till payment or satisfaction.—A negotiable instrument may be negotiated (except by the maker, drawee or acceptor after maturity) until payment or satisfaction thereof by the maker, drawee or acceptor at or after maturity, but not after such payment or satisfaction.
Plain English Summary
Allows a negotiable instrument to be negotiated until it is paid or satisfied by the maker, drawee, or acceptor at or after maturity, after which negotiation is blocked.
Key Legal Elements
- Negotiation is valid until payment or satisfaction by the maker, drawee, or acceptor at or after maturity
- The maker, drawee, or acceptor cannot negotiate the instrument after maturity
- No negotiation is valid after payment or satisfaction of the instrument
Practical Note
Crucial for determining when negotiability ends. Once a cheque or note is paid by the bank/maker at maturity, it is dead and cannot be negotiated further. If negotiated after payment, the transferee gets no rights.
हिंदी पाठ
भुगतान या संतुष्टि तक परक्राम्य लिखत।—कोई परक्राम्य लिखत (परिपक्वता के बाद निर्माता, आहारी या स्वीकर्ता द्वारा परक्रामण को छोड़कर) तब तक परक्रामित (negotiated) किया जा सकता है जब तक कि परिपक्वता पर या उसके बाद निर्माता, आहारी या स्वीकर्ता द्वारा उसका भुगतान या संतुष्टि (payment or satisfaction) न कर दी जाए, लेकिन ऐसे भुगतान या संतुष्टि के बाद नहीं।