Negotiable Instruments froms by Gupta

V8_CH65

NEGOTIABLE INSTRUMENTS?FORMS 225
2. If a bill is presented for acceptance notwithstanding a stipulation
permitted under paragraph 1 of this article and acceptance is refused, the
bill is not thereby dishonoured.
30. Attestation.?A Bill of Exchange or a Promissory note need not be
attested. If it is attested by a witness and is not payable to order the
instrument will fall under the definition of a bond, as provided in the Indian
Stamp Act, 1899, and will, therefore, be chargeable with the duty as of a
bond?ILR 8 Mad 87 (FB).
31. Stamp duty:
(a) On Bill of Exchange.?Stamp duty on a bill of exchange is payable
in accordance with the provisions of Art. 13 of the Indian Stamp Act. Being
exclusively a Union subject under the Constitution, no State Legislature can
impose any stamp duty on bills of exchange, except in Jammu & Kashmir,
where separate rates of duty as prescribed.
(b) On Cheque.?No stamp duty is payable on cheque.
(c) On Promissory Note.?Stamp duty on promissory notes is also
exclusively a Union subject and the States have no powers to impose any
stamp duty on such instruments, except in Jammu & Kashmir, where the
same duty is imposed.
When payable on demand, the duty is payable under Art. 49 of the Indian
Stamp Act, 1899; When payable otherwise than on demand, the same duty
as a bill of exchange under Art. 13 of the said Act, is payable.
The duty on a bill of exchange is payable in form of stamp paper ; but
if it is in European language, by impressed label. On a promissory note, the
duty is payable in adhesive revenue and stamp paper under cl. (a) and cl.
(b) of  the said Article.
The duty on a bill of exchange and promissory note is payable in the
absence of an agreement to the contrary, by the person drawing, making
or executing such instrument?see sec. 22 of the Indian Stamp Act, 1899.
32. Registration.?Registration of a bill of exchange, cheque or prom-
issory note is not required under the Registration Act.
FORMS
1
Promissory Note
AMOUNT Rs????……. ………………………..
FOR   VALUED  RECEIVED,  …………………………….(Maker), promises to
pay………………………………. (Holder) or order the principal sum of…………..
G : CDD (Vol. 8) ? 15226 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
(Rs…………………….). This will consist of…………………..consecutive monthly
payments of Rs……………….  each.  The first monthly payment is due
on…………………… and the final payment is due on ………………………….. .
If any default occurs in the making of payments hereunder and such
default continues for more than ten days after written notice thereof, from
Holder to Maker, the entire balance of this Note shall become immediately
due and payable, if not already due and payable, at Holder?s election
expressed by written notice mailed to Maker?s last known place of business.
All parties hereto, including Maker and any endorsers, and/or guarantors
hereby waive presentment and all demands and notices in connection with
the delivery, acceptance, performance and enforcement of this Note.  They
consent that time of payment may be extended without notice. Should
payment not be made when due or in the event of default, each party shall
pay to Holder the costs of collection, including reasonable attorney fees.
Unless and until written notice to the contrary is given by Holder, all
payments hereunder shall be sent to: ………………….[address], Attention:
……………………………
Any assignment for the benefit of creditors by Maker or the institution by
or against Maker of any proceedings under the Insolvency Act or any other
law in which Maker is alleged to be insolvent or unable to pay debts as they
mature shall be deemed a demand and shall render this Promissory Note
due and payable immediately.
In the event of any litigation by either party to enforce this Note, the losing
party shall, in such litigation, reimburse the prevailing party for all reasonable
Attorney fees.
ADDRESS:……………………………………………………………………………………..
…………………………………………………………………………………………………..
By: …………………………………………………………………………………………….
2
Promissory Note to make Repayment in Monthly
Instalments
FOR VALUE RECEIVED, the  undersigned promises to pay  the order of
………………………………………………………………………..HOLDER the sum of
Rs. ……………………together with interest thereon at the rate of……. % per
annum in equal monthly instalments of Rs.  ……………………… each, the first
payment of which shall be due on the ……….day of………………., 20 …………..,
and a like amount on the same day of each month thereafter until the full
amount on the same day of each month there after until the full amount of
this Promissory Note and accrued interest shall be fully paid.
All payments shall be applied first in payment of interest and the balance,
if any, in reduction of principal.Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 227
The undersigned shall have the right to prepay this Promissory Note in
whole or in part without notice, bonus or penalty.
This Promissory Note shall be fully payable upon demand of any holder
in the event that the undersigned defaults in making any payments due under
this note.  In the event of default the undersigned agrees to pay all solicitors
fees and costs of collection.
Dated this …………………. day of……………… 20…. .
WITNESSES:
(Signature)
3
Joint and Several Promissory Note
Date……………..
FOR VALUE RECEIVED, the undersigned jointly and severally promise to
pay to the order of………………………………………………………..HOLDER the
sum of Rs.  ………………….with interest thereon at the rate of…………..% per
annum. The said sum shall be payable as follows:
…………………………………………………………………………………………………
…………………………………………………………………………………………………
The undersigned shall have the right to prepay any part of the principal
sum owing at any time without penalty.
In the event  that any payment due under this note is not made when
due the entire balance shall be immediately due and payable at the option
of any holder of this note.  In the event of default the undersigned agree to
pay all solicitors fees and costs of collection.
Each maker, surety, guarantor or endorser of this note hereby waives
presentation for acceptance, notice of dishonour, protest and notice of
protest, and further agrees to all extensions, renewals or release, discharge
or exchange of any other party or collateral, without notice.
WITNESSES:
Joint Signatures
4
Promissory Note to Settle Account Payable
FOR VALUE RECEIVED, the undersigned promises to pay to the order of
…………………………………………HOLDER the sum of Rs…………….. together
with interest at the rate of ………………………….% per annum.228 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
The said principal and interest shall be payable in the manner following:
………………………………………………………………………………………………….
The undersigned may prepay this Promissory Note without penalty.
In the event that any payment required hereunder is not paid when due
the entire balance shall be immediately due upon the demand of any holder.
Upon default the undersigned shall pay all solicitors fees and costs of
collection.
This Promissory Note is executed to evidence a certain existing
indebtedness due to the holder from the undersigned and shall operate to
fully determine same, and this Promissory Note shall be further construed
as a separate obligation.
Dated this ………………..day of ………………………….., 20……… .
WITNESSES:
1. (Signature)
2.
5
Promissory Note and Statement of Disclosure
Date………………..
FOR VALUE RECEIVED, the undersigned promises to pay to the order
of……… HOLDER the sum of Rs.  ………………………..in consecutive, monthly
payments of Rs……………………………commencing one month from date
hereof and thereafter on the same day of each and every subsequent month
until fully paid.
Any unpaid balance may be prepaid at any time without penalty.
In the event the undersigned defaults in any payment beyond
……………………….days from the agreed date of payment, the entire remain-
ing balance will be due at the option of any holder of this Promissory Note.
1. Principal Amount of Loan: Rs. …………………………………………….
2. Charges and fees: Rs. …………………………………………….
Rs. ……………………………..
Rs. ……………………………..
3. Total fees charged : Rs.  …………………………..
4. Net amount to be advanced: Rs.   ……………………………….
WITNESSES:
(Signature)Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 229
6
Promissory Note
[Long Form]
FOR VALUE RECEIVED, the undersigned promises to pay to the order of
……………………………………………HOLDER  the sum of Rs.  ………………………
together with interest thereon at the rate of …………………. % per annum.
The said sum shall be paid in the manner following:
………………………………………………………………………………………………….
…………………………………………………………………………………………………..
All payments shall be applied firstly to payment of interest and the
balance, if  any, to principal. This Note may be prepaid at any time, in whole
or in part, without notice, penalty or bonus.
This Note shall, at the option of any holder, be immediately due and
payable upon the occurrence of any of the following:
1. The failure to make any payment due hereunder within ……….. days
of its due date.
2.  The breach of any term or condition of any security agreement,
mortgage or guarantee given as collateral security for this note.
3. The breach of any condition or term of any security agreement or
mortgage, if any, having any priority over any security agreement or
mortgage on collateral given, in whole or in part, as collateral security for
this note.
4. Upon the death, dissolution, insolvency or liquidation of the under-
signed, or any endorser, guarantor or surety to this note.
5. Upon the filing by the undersigned or any endorser, guarantor or surety
of an assignment for the benefit of creditors, bankruptcy, or for relief under
the provisions of any Act respecting insolvency or the protection of debtors,
or by suffering a petition in bankruptcy or receivership which is not vacated
within ten days.
In the event this note shall be in default, and placed with a solicitor for
collection, the undersigned agrees to pay all solicitor?s fees and costs of
collection. Payments not made within five days of their due date shall be
subject to a late charge of Rs.  ……………………. . All payments hereunder shall
be made to such address as may from time to time be designated by any
holder hereof.
The undersigned and all other parties to this note, whether as endorsers,
guarantors or sureties, agree to remain fully bound hereunder until this note
shall be fully paid and hereby waive demand, presentment and protest and
all notices thereof, and  further agree to remain bound, notwithstanding any
extension, modification, waiver, or other indulgence of any holder of this230 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
note, or to this note, or upon the exchange, substitution, or release of any
collateral granted as security for this note.  No modification or indulgence
by any holder hereof shall be binding unless in writing, and any indulgence
on any one occasion shall not be an indulgence for any other or future
occasion.
Any modification or change of terms granted by any holder shall be valid
and binding upon each of the undersigned, notwithstanding the
acknowledgement of any of the undersigned, and each of the undersigned
does hereby irrevocably grant to each of the others a power of attorney to
enter into any such modification on their behalf.  The rights of any holder
hereof shall be cumulative and may be exercised separately.
Dated this ………..day of………………….20………….  .
WITNESSES:
(Signature)
7
Promissory Note
[Short form]
Rs. ………………………. Date ………………….
For value received, I,…………………….. promise to pay to ………………..,
or order, the sum of Rs. …………….,  in ……………….  years from this date, with
interest to be paid semi-annually at the rate of…………. per cent per annum,
during said term, and for such further time as the said principal sum or any
part thereof shall remain unpaid.
(Signature)
8
Promissory note by single maker
(Maker?s address)
Rs. ………………………. Date ………………….
ON DEMAND (or ………… months after date or after sight) I promise to pay
to (payee) or order (or to (payee) or bearer) the sum of (Rs. ……………. ) value
received.
(Signature of maker)Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 231
9
Joint and several promissory note
(Address)
Rs. ………………………. Date ………………….
ON DEMAND (or ………… months after date or after sight) we jointly and
severally promise to pay to (payee) or order (or bearer) the sum of Rs.
……………..  value received.
(Signatures of makers)
10
Joint promissory note
(Address, which should be where
note may be prescribed for
sight or payment as to
all the makers)
Rs. ………………………. Date ………………….
ON DEMAND (or ……………  days or …………..months after date or …………….
days after sight) we promise to pay to (payee) or order (or bearer) the sum
of …………….. (Rs.) value received.
(Signatures of makers)
11
Joint and several promissory note payable by instalments
(Address)
Rs. ………………………. Date ………………….
WE jointly and severally promise to pay to (payee) or order (or bearer)
the sum of (Rs.  …………………) value received by the following instalments,
namely, the sum of Rs. ………………… on the …………… day of …………. and
the sum of (Rs.  ………………) on the ……………. day of ……………..
In default of payment of the first instalment the whole amount payable
under this note is to become immediately due and payable.
(Signatures of makers)232 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
12
Promissory note containing pledge of collateral security
(Maker?s address)
Rs. ………………………. Date ………………….
ON DEMAND (or …………. months after date or ………… days after sight
I promise to pay to (payee) only (or at order) the sum of (Rs. ………………..
) value received (with interest thereon at ………. per cent per annum) and
I have deposited in the hands of the said (payee) and hereby pledge to him
as collateral security for the same bonds of the (description) for the sum
of Rs.  ………………….. payable to bearer (or as the case may be) and in
default of payment as aforesaid I hereby authorise the said (payee) forthwith
either by auction private treaty transfer or otherwise to sell or dispose of the
said (describe property as before) and out of the proceeds of such sale or
disposal to  reimburse himself the said sum of (Rs. ……………….) and interest
thereon rendering to me any surplus which may be forthcoming from such
sale or disposal.
(Signature of maker)
13
Promissory note made payable at a particular place
(Address of maker)
Rs. ………………………. Date ………………….
………. MONTHS after date (or ……….. months or ……….. days after sight
or on demand) I promise to pay at …………. Bank Limited ……… (India) to
(payee) or order the sum of (Rs.  …………….. ) value received.
(Signature of maker)
14
Promissory note by a company
(Registered address of company)
Rs. ………………………. Date ………………….
ON DEMAND (or ……….. months after date of ……….. days after sight) the
……………………. Company Limited promises to pay to (payee) or order the
sum of (Rs. ………………..)  for value.
For and on behalf of
the …………Company Ltd.
……………………… Director
………………….. Secretary
……………………. ManagerCh. 65] NEGOTIABLE INSTRUMENTS?FORMS 233
15
Promissory note by guardian of minor
I ……………. of ……………….. guardian of ……………… of ……………….minor,
under the order of …………… court …………….. dated …………..(will of ………….
dated ……………) having received the sum of Rs.  ……………… from ………….
of …………….. for use of the said ……………. minor hereby promise to pay the
said ……………… the aforesaid sum of Rs.  ……………… or to his order with
interest on demand at the rate of ………….. per cent per annum.
For …………………….minor
Dated ……………. ………………………………
Guardian
16
Promissory note on behalf of limited Company
On demand ………………………. Co.  Ltd. …………….. promises to pay to
……………. of …………….. or order the sum of Rs.  …………….. with interest at
……… per cent per annum with half-yearly rests.
For ………………….. Co. Ltd.
Dated ………………. Managing Agents
17
Promissory note by firm
On demand we promise to pay to …………….. Bank Ltd. ……………… or
order  the sum of Rs. ………………  with interest at …………  per cent per
mensem with monthly rests for value received.
For and on behalf of  …………………..
…………………………………………………
Partner
Dated……………… Address …………………………………….
………………………………………………….
18
Promissory Note as security for the unpaid purchase money
for land purchased?provision in the sale deed to the effect
…………….. years after date the undersigned promises to pay to the order
of the ………………….  Company at …………… in lawful money of the India,
the sum of Rs. ……………,  together with interest thereon from date until234 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
maturity at the rate of ……….. per cent per annum, and thereafter until paid
at the rate of………….  per cent per annum, interest payable annually on the
…………. day of ……… of each year, and further hereby agrees, if this note
is not paid when due, to pay all costs of collection and ………. per cent of
the unpaid principal and interest for attorney?s fees. Past-due interest and
attorney?s fees to draw interest at the rate of …………. per cent per annum,
and all with annual rests.
This note is given as part of the purchase-price of ……….. (here describe
land sold) and is more particularly described in a deed of even date herewith
given by …………. Finance Company to the undersigned, in which deed a
Vendor?s lien has been specially and expressly retained and reserved to
secure, among other things, the payment of this note.
The considerations for said conveyance are set forth in the said deed
and include the cash payment and the execution and delivery of promissory
notes of even date with said deed and herewith said notes being numbered
or designated, and for the amounts and with the maturities mentioned below.
If this note or any instalment of interest thereon, or any taxes of any nature
or description, or any water charges, rents or assessments, hereafter
accruing upon or against the above described property, promises or
improvements, should not be, or are not, paid when due, then this note and
each of the said other notes, may, at the option of the holder, and while any
sum or amount may be due thereon, be declared due and payable and
forthwith become matured, due and payable, without notice or demand.
Reference is specially made to said deed and the record thereof for further
particulars.
19
Promissory Note with collateral security for sums secured
with interest, negotiable through Bank, with powers
of sale and conversion
[Another form]
Rs. ………………………….. (Address in full of
maker)
Date ………………………..
……….. days after date ………….. promise to pay to the order of Rs.
………………. negotiable and payable at the ……………  National Bank of
………………., with ………….  per cent attorney?s fees upon the principal of this
note.  Value received with interest at the rate of ………….  per cent per annum
after………….. until paid.  The drawers and indorsers severally waive present-
ment for payment, protest, notice of protest and notice of non-payment of
this note.Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 235
…………….. have transferred and delivered to the ………… as collateral
security  for the payment of this and of any other liabilities of the undersigned
to said payee, or assigns, due or to become due, or that may hereafter be
contracted  the following property, the value of which is Rs.  ………….., namely:
And the undersigned hereby gives the said payee and assigns authority
to sell and to transfer and assign the said property or any part thereof, or
any substitute therefor, and all additions thereto, on the maturity of the above
note, or any time thereafter, or before in the event of the said security
depreciating in value, at any public or private sale without advertising the
same, or deman-ding payment or giving notice, with the right to said payee
and assigns themselves to be the purchasers, when sale is made at any
broker?s board or public sale.  And, after deducting all costs and expenses
to apply the residue to the payment of any, either or all liabilities as aforesaid,
as said payee or assigns shall elect, returning the surplus to the under-
signed, and in case the proceeds of the sale of said property shall not cover
the principal, interest and expenses, the undersigned engages to pay the
deficiency forthwith after such sale, with legal interest.
[Signature of maker]
20
Promissory Note with collateral security
[Short form]
Rs. ………………………… (Address in full)
Date ………………………..
Six months after date I promise to pay to ……….. or order the sum of
Rs……….. value receive, with interest at the rate of………. per cent per annum,
and I have deposited in the hands of the said ……….. bonds (or stock) of
the Company for the sum of Rs. ………….. by way of collateral security for
the same; and in default of payment as aforesaid, I hereby authorise the said
……………, or other holder for the time being of this note, forthwith to sell said
bonds by auction or by private sale, and out of the proceeds of sale to
reimburse himself of said sum of Rs……………. and interest thereon, as
aforesaid, he rendering to me any surplus which may arise from said sale.
[Signature of maker]236 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
21
Promissory Note with collateral security and power of sale
[Alternative form]
Rs. ……………………….. (Address in full)
Date ………………………..
…………  months after date, for value received, I promise to pay to
……………., or order, Rs.  …………………… and interest at the rate of ………..
per cent per annum, for such further time as said principal sum or any part
shall remain unpaid,  I having deposited with this obligation, as collateral
security, ……….. shares of the capital stock of the …………. Bank of ………….,
with authority to sell same without notice either at public or private sale, or
otherwise, at the option of the holder or holders hereof, on the non-
performance of this promise, he or they giving me credit for any balance of
the net proceeds of such sale remaining after paying all sums due from me
to the said holder or holders, or to his or their order.  And it is further agreed
that the holder or holders hereof may purchase at said sale.
[Signature of the maker]
22
Promissory Note in favour of a Company by way of security
supported with collaterals with powers of sale and conver-
sion and covenants to pay the deficiencies if any
Rs. ……………………….. (Address in full)
Date ………………………..
………. days after date, for value received, ………. promise to pay to the
order of the …………….. Company, Rs. ……………. with interest at the rate of
………. per cent per annum after maturity until paid and attorney?s fees.
The undersigned hereby deposits with said company the following
collaterals as security for this note, said collaterals being hereby, by the
undersigned, valued at Rs.  ………………….
And the undersigned hereby gives to said company, or its assigns,
complete authority to sell said collaterals, or any part thereof, and such
collaterals, or any part thereof, as may be given in exchange for, or in addition
to, said collaterals, at the option of said company, or its assigns, on the non-
payment of this note at maturity, or at any time thereafter, or before maturity
of this note in the event of the above collaterals, or any part thereof, or
substitutions therefor, or additions thereto, depreciating in value, or in the
event of said company, or its assigns, determining, that said collaterals areCh. 65] NEGOTIABLE INSTRUMENTS?FORMS 237
less in value than they are valued at public or private sale, and without
advertising the same, or otherwise giving to the undersigned, or the legal
representatives of the undersigned, any notice of any kind, whether of
redemption or of sale, or of anything else; and to apply the proceeds of any
such sale to the payment of this note and all interest due thereon, together
with all costs, attorney?s fees and expenses attending and such sale. At any
such public sale, said company, or its assigns, may be purchaser of the
collaterals or any part thereof. And in case the collaterals shall be insufficient
to pay the principal,  interest, costs, attorney?s fees and expenses  as
aforesaid, the undersigned promises to pay to said company, or its assigns,
the amount of such deficiency  forthwith after such sale, with interest at
……………… per cent per annum, anything herein to the contrary contained
notwithstanding. And said company, or its assigns, is hereby authorised to
apply upon this note or upon such deficiency any money or other property
in possession of said company, or its assigns, belonging to the undersigned.
The said company, or its assigns, is hereby made sole and exclusive judge
in determining whether there has been depreciation as aforesaid, and also
in determining whether said collaterals are less in value than they are valued
at as aforesaid.
It is hereby agreed and understood, that the collaterals, or any part
thereof, or the proceeds of the sale thereof, or any part thereof, shall be
applicable to any other note or claim, whether due or not, held by said
company, or its assigns, against the undersigned ; and said company, or
its assigns, shall have the same rights and powers to hold, sell or dispose
of the collaterals or any part thereof in respect of and as security for said
other note, or claim, as are herein granted with reference to this note, and
shall also in such case be relieved from all obligations to give notice of any
kind or for any purpose, the same being hereby waived. And in case of any
exchange of or addition to the collaterals above named, all of the provisions
of this agreement shall extend to such new or additional collaterals.  The
undersigned hereby absolutely waives notice of any kind or for any purpose.
It is expressly understood and hereby agreed that in the event the
undersigned, or any of them, become insolvent before the first above
mentioned time of maturity of  this note, then that this note shall simulta-
neously with the happening of such insolvency become due and payable,
Demand, protest and notice of non-payment is hereby severally waived by
the makers, endorsers and guarantors.
[Signature of maker]238 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
23
Promissory Note by way of hypothecation of collateral
security with power to sell and convert the security
in case of default in making payment
[Alternative form]
Rs. ……………………….. (Address in full)
Date …………………….
………. after date, without grace, the ……………. Manufacturing Company
promises to pay to the order of ……………, at the ……………. Bank, in …………..
the sum of Rs.  ………………, in legal tender of the India, for value received,
with interest from date until paid at the rate of………… per cent per annum,
payable quarterly in like legal tender.  This note is executed in pursuance of
a resolution of the board of directors of said manufacturing company, passed
the……………. day of ……………… 20……… .
The said ……………. Manufacturing Company doth hereby deposit with
…………………… (the pledgee), as collateral security for the payment of the
above-written promissory note, the following described bonds and shares
of stock belonging  to said……………………… Manufacturing Company, namely,
(describe).
In case of the non-payment of the aforesaid promissory note, or of any
interest thereon when due, the said ……………….. Manufacturing Company
hereby appoints and constitutes ……………..  its attorney irrevocable, with
power of substitution, to sell, at any time after said note, or any interest
thereon, is due and  remains unpaid, with or without notice to said …………….
Manufacturing Company, the whole or any part of said security, either at
public or private sale, at discretion, the proceeds to be applied to the
payment of the aforesaid promi-ssory note, the interest due thereon, and
commissions on sales, and any surplus after said payment to be subject
to the order of said …………………….. Manufacturing Company.
On payment of the aforesaid promissory note and interest, this agree-
ment shall be void, and the security mentioned returned to said …………….
Manufacturing Company.  This hypothecation is made subject to all the legal
rights of a certain hypothecation executed by the ………………. Manufacturing
Company on the ……….. day of ………….20 ………., to secure the payment
of a note of the same date for Rs.  ……………….., and due on the first day
of …………. 20 ……….., bearing interest at the rate of ………….. per cent per
annum.
IN WITNESS WHEREOF, the said ……………….. Manufacturing Company
has caused these presents to be signed by its president, and its corporate
seal to be here to affixed, this……………. day of ………….., 20……..
[Signature of makers]Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 239
24
Promissory Note with a Collateral Security with power to
sell in the event of default in making payment
…………… weeks after date, for value received, we, the undersigned
jointly and severally promise to pay to the order of …………… Investment
Company,  Rs. ………………..  negotiable and payable at ………… Bank,
………….. with attorney?s fees, value  received, with interest at the rate of
……….. per annum after maturity until paid. The drawers and endorsers
severally waive presentment for payment, notice of protest and notice of
non-payment of this note.
There has been deposited as collateral security, herefor instalment
investment certificate of said …………….  Investment Company No.  ………………
. In the event the makers fail to pay any instalment due the holder on the
investment certificate deposited herewith at the times provided therefor, or
fail in the performance of any other obligation arising out of said investment
certificate,  then this obligation shall at the option of the holder, become
immediately due and payable.
Upon the maturity of this obligation, either by its terms or by acceleration
because of any default of the makers, or at any time thereafter or before
in the event the security hereof shall be deemed by the holder to be
insufficient, the holder or its assigns shall, without demand on the under-
signed, have full power and authority to sell, collect or otherwise convert
all collateral pledged to secure this note, and any such sale may be made
at public or private sale at the discretion of the holder, without advertising
the same or giving any public notice or notice to the undersigned, and the
right of redemption is hereby waived.  The holder may become the purchaser
of any or all of such collateral at any such sale.
If before this obligation is paid and the collateral deposited herewith
released, the makers, or any of them, become liable to the holder on any
other obligations, then the collateral herewith deposited, or the proceeds
thereof, to the extent they are not required in paying this obligation, shall
be held by the holder as collateral security and applied by it upon such other
obligations of said makers, or any of them as the holder may elect.
The holder may at its option require this obligation to be paid by any
maker, surety, guarantor or endorser, and it shall not be compelled to resort
first to the collateral deposited for the security of this obligation. Upon the
payment of this obligation by any party or parties liable hereon, this note,
together with the collateral held, if the same is not retained by the holder
pursuant to the foregoing provisions hereof as security for other obligations,
shall be transferred without recourse against the holder to those paying this
obligation.
All executant hereto,  in whatever capacity signing, hereby severally240 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
agree that additional makers, endorsers, guarantors or sureties may
become parties hereto, either with or without notice to any other executants,
and without affecting the liability of any executant hereon or hereunder, and
each of the undersigned hereby waives presentment for payment, demand,
protest for non-payment, and all defences by reason of any extension of time
of payment that may be given by the holders to the undersigned or any of
them.
[Signatures of the makers]
25
Joint Promissory Note with power to the payee or holder
to enter upon drawers? premises and take possession
of the goods
On or before the first day of ………….., 20…… the undersigned, or either
of us, promise to pay to the order of Rs. ………….. and attorney?s fee, with
interest at ……….. per cent per annum from ……….. until paid. Negotiable and
payable at ………… Bank, ………… Value received.
The express condition of the conditional sale and purchase of the
………………… for which this note is given, is such that the title and ownership
thereof does not pass from said ………… until this and all other notes given
for said goods shall be paid for in cash or judgment rendered thereon shall
be fully paid or satisfied, and this condition to hold good, notwithstanding
the language or wording of any order given for said goods ; and if said note
shall become due and remain unpaid, or any portion of the same, said
…………… or any of their agents, or the holder of this note, may enter upon
our or my premises, or wherever they may be found, and take possession
of said goods, without any process of law.
This note to become due and payable at the option of the payee or holder
upon the removal of the maker from the place in which he resides, or when-
ever the holder or payee shall deem themselves insecure.  The grantor and
endorsers severally waive presentment for payment, protest or notice of
protest, and non-payment of this note.
This note, together with all other notes given for above goods, form a
series, and it is hereby agreed that if any one of said notes shall not be paid
at maturity, then all of said notes, principal and interest, shall become due
and collectible.  And all payments heretofore made shall be taken and held
to have been made for the use thereof prior to the time of return.
[Signatures of makers]Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 241
26
Promissory Note creating Security for unpaid purchase
money in respect of a Vehicle
Rs. ………………………. Date ………………….
……………… after date, for value received, …………. promise to pay to the
order of ……………., the sum of Rs.  ……………., at the office of ………………,
with per cent  interest per annum. This note is one of …………… notes
representing part payment for one ………… motor truck, number ………….,
Model 20 …….., receipt where is hereby acknowledged.
It is agreed that title and ownership to said motor truck shall remain in
the legal owner hereof until all of said notes, renewals thereof judgments
thereon shall be paid in full, with interest; that upon default in payment of
this note or breach of any covenant herein contained, all of said notes shall
immediately become due and payable, and said motor truck may be retaken
by the legal owner hereof without demand or process of law; that in the event
of such retaking of said motor truck all payments made and amounts
collected on this or any of notes shall be deemed to be compensation for
the use and depreciation of said motor truck, and that no agreement
hereafter made in regard to possession of said motor truck, or in regard to
new notes, collateral or additional security, nor the bringing of any action
upon any of said notes, or renewals thereof, shall in any way waive, transfer
or release, title said motor truck shall not be removed beyond a radius of
………… miles from the city of ………….., State of ……….., nor without said
State, except with the written consent of the legal owner hereof, and that
the maker hereof will insure said motor truck against loss or damage by fire,
in amounts sufficient to secure payment of sale notes, under policies
approved by and deposited with the legal owner hereof, which said policies
shall provide for payment of any loss thereunder to the legal owner hereof,
as its interest may appear. The provisions of this note shall apply to any and
all accessories, parts or repairs, that may be used by the maker hereof in
connection with said motor truck.
[Signature of maker]
27
Promissory Note by way of Security for unpaid
purchase money
[Alternative form]
Rs. ………………………. Date ………………….
For value received I promise to pay …………… on order Rs.  ……………..,
as follows:
………….  day of ……….., 20……..  Rs. ………………
………….  day of ……….., 20……..  Rs. ………………
G : CDD (Vol. 8) ? 16242 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
with interest from maturity at ………… per cent per annum. This note is given
for the purchase money of …………. and the title of said ……. is to remain
in said Vendor until this note is fully paid, and in case I should not pay any
instalment when it becomes due the said Vendor shall have the right to claim
and take possession of said …………. without any legal process or demand,
and without refunding any of the money I may have paid on said ………….
I hereby agree  for the amount so paid to be held as rent in case  the …………….
is reclaimed, and I further bind myself not to remove said ……………. from
this …………., nor to sell it or in any way dispose of it without consent of said
Vendor until fully paid for. Loss in case of theft, fire or accident, to be borne
by me.  In case this note is put out for collection I agree to pay all costs of
collection, including …………. per cent attorney?s fee. And I hereby severally
waive and renounce any and all homestead and exemption rights  I may have
by virtue of the constitution or laws of this State or the India as against this
note or renewal thereof.
WITNESS :
[Signature of maker]
28
Joint Promissory Note in favour of a Company for payment
in instalments with interest
Rs. ………………………. Date ………………….
For value received, on or before …………………, 20………,  the undersigned
jointly and severally promise to pay to the order of ……………….. Company
of ……………….., at its office, in room ……………….., ……….. the sum of
Rs……………….  the amount actually loaned to the undersigned, in ………………..
successive ……………….. instalments of Rs.  ……………….. each, with interest
at the rate of ………. per cent per annum on the unpaid principal balances
the first of which instalments shall be payable on the ……………….. day of
……………….. 20………, together with a ……………….. instalment, covering any
unpaid balance, including interest as aforesaid, which instalment is due and
owing on  the date herein above mentioned. From any payment made
hereon, interest at said rate due on the unpaid principal balance shall first
be deducted and the remainder of any such payment shall be applied on
the unpaid principal of this obligation until paid. After the due date of this
note, the unpaid principal shall bear interest at said rate.
A default in the payment of any instalment of the principal, interest or
service fee hereunder, or of any part of the foregoing, shall, at the option
of the holder hereof and without notice or demand, render the entire unpaid
balance of the principal, accrued interest thereon and accrued service fee
at once due and payable.Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 243
Extension of the time of payment of all or any part of the amount owing
hereon at any time or times, shall not affect the liability of any party hereto,
or surety, guarantor or endorser hereof.  Sureties, guarantors, endorsers,
and parties severally waive demand and presentment for payment, notice
of non-payment, notice of protest and protest of this note, and further waive
all rights of exemption under the laws of this or any other State.
In consideration whereof, the undersigned do hereby authorize any
attorney of any ……………….. court in term time or vacation, to enter the
appearance therein of us or either of us, at any time after the date hereof,
to waive all process and to confess judgment or judgments in favour of the
legal holder hereof, against anyone of us or jointly with any other signatory
or signatories hereof, for amounts then owing, and consent to immediate
issue of execution on the judgment so confessed, and waive all errors in
the rendition thereof, and agree that no appeal shall be prosecuted on such
judgment, nor any bill in equity exhibited to interfere in any manner with the
operation thereof.
[Signature of makers]
29
Interest reduced on prompt payment
……………….. months after I promise to pay to the order of ………………..
of ……………….. the sum of Rs………………… with interest at ………. per cent
per mensem; provided that if I would pay the principal on or before the due
date, the interest will be reduced to …………. per cent per mensem.
……………………………
Dated ……………….. Address ………………………….
…………………………..
30
Promissory note (without interest)
Dated ………………..
I promise to pay to ……………….. of ……………….. or order the sum of
Rs…………… with  interest at………… per cent per mensem for value received.
Dated……………..244 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
31
Promissory Note with surety
On demand we ……………….. of ………………..as principal and ………………..
of ……………….. as surety promise to pay to the order of ………………..  of
……………….. the sum of Rs. ……………….. with interest at ………… per cent
per annum.
…………………
Address ………………..
…………………
Surety
Dated ……………….. …………………
Address ………………..
32
Promissory Note with Joint and several liabilities
On demand we promise jointly and severally to pay to ……………….. of
……………….. or order the sum of Rs. ……………….. with interest at ……….   per
cent per mensem for the value received.
……………………………
Dated ……………….. Address ………………………….
…………………………..
33
Discharge of pronote
[Another form]
Received the sum of Rs. ………………..  under this promissory note.  The
balance thereunder is remitted.
………………..
Dated ……………….. …………………
34
Demand Promissory Note
On demand I/we A.B, and C.D., jointly and severally promise to pay
………………..  Bank, ……………….. or order the sum of Rs.  ………………..  withCh. 65] NEGOTIABLE INSTRUMENTS?FORMS 245
interest at the rate of ………… per cent per annum above the Reserve Bank
of India rate subject to minimum rate of interest of ……….. per cent per annum
with quarterly rests for value received.
For A.B.  and C.D.
Dated …………… &
……………………….
……. ………………..
Partners
35
Receipt and discharge of a Promissory Note
I have this………………..  day of ……………….. received the sum of
Rs……………  due under this promissory note dated ………………..  from
………………..  who is absolved from all obligation thereunder.  The promissory
note has been returned to ………………..  accordingly to be duly discharged.
Dated ………………..
[Signature]
36
Bill of exchange payable on demand
[Drawer?s full address]
Date ………………..
Rs. ………………..
ON DEMAND (or AT SIGHT or ON PRESENTATION) pay to (payee) or order
(or pay to (payee) or bearer or pay to my order) the sum of (Rs.  ………… )
value received.
[Signature of drawer]
To (drawees)
(Drawees? full address)246 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
37
Bill of Exchange payable after date
[Drawer?s full address]
Date ………………..
Rs. ………………..
……… MONTHS (or other fixed time) after date pay to (payee) or order (or
pay to (payee) or bearer or  pay to my order) the sum of (Rs. …………… )
valued received.
[Signature of drawer]
To (drawees)
(Drawees? full address)
38
Bill of Exchange payable on demand to or to the order of a
specified person with interest
[Drawer?s full address]
Date………………..
Rs. ………………..
ON DEMAND to pay to the order of ………………..  of ……………….. the sum
of Rs. ……………….. with interest at the rate of ………. per cent per annum.
[Signature of drawer]
To (drawees)
(Drawees? full address)
39
Bill of Exchange payable at sight to or to the order of a
specified person with interest
[Drawer?s full address]
Date………………..
Rs. ………………..
At sight pay to the order of ………………..  of ……………….. the sum of
Rs………………… with interest at the rate of ……….. per cent per annum.
[Signature of drawer]
To (drawees)
(Drawees? full address)Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 247
40
Bill of Exchange payable after date of specified period to
self or order
[Another form]
[Drawer?s full address]
Date………………..
Rs.  ………………..
………after the date please pay to myself or order the sum of Rs.
………………..
[Signature of drawer]
To (drawees)
(Drawees? full address)
41
Bill of Exchange payable after sight
[Drawer?s full address]
Date ………………..
Rs. ………………..
……… MONTHS (or other fixed period) after sight pay to (payee) or order
(or pay to (payee) or bearer or pay to my order) the sum of (Rs. ………………..
) value received.
[Signature of drawer]
To (drawees),
(Drawees? full address)
42
Non-transferable Bill of Exchange
[Drawer?s full address]
Date………………..
Rs. ………………..
……… MONTHS after date pay to A.B.  only the sum of (Rs.  ………………..
) value received. Not transferable.
[Signature of drawer]
To (drawees)
(Drawees? full address)248 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
43
Bill of Exchange drawn without recourse
[Drawer?s full address]
Date ………………..
Rs. ………………..
……… MONTHS after date pay A.B. or order without recourse to me the
sum of (Rs.  ……………….. ) value received.
[Signature of drawer]
To (drawees)
(Drawees? full address)
[N.B. See, Sec.  52, Negotiable Instruments Act, 1881]
44
Bill of Exchange payable to self after date
of the specified period
(Drawer?s full address)
Date ………………..
Rs. ………………..
……… days after the date please pay to myself or order the sum of
Rs…………………
(Signature of drawer)
To (drawees),
(Drawees? full address)
45
Bill of Exchange payable to three persons or to the Order of
any one of them within specified period after presentation
(Drawer?s full address)
Date ………………..
Rs. ………………..
………days after presentment please pay to AB, CD or EF or to the order
of any of them the sum of Rs.  ………………..  with interest at  ……….. per
cent per annum for value received.
(Signature of drawer)
To (drawees),
(Drawees? full address)Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 249
46
Notice of Dishonour
Date.  ………………..
I beg to notify you that a bill for Rs. ………………..  dated the ………………..
drawn by ……………….. upon payable …………. months after date (and
endorsed by you) has been presented for acceptance (or payment) and
dishonoured.
(Signature)
47
Bill of Exchange payable on demand to two persons
(Drawer?s full address)
Date………………..
Rs.  ………………..
ON DEMAND pay A.B.  & C.D. or order the sum of Rs. ……………….. value
received.
(Signature of drawer)
To (drawees)
(Drawees? full address)
48
Bill of Exchange payable on demand to single person
(Drawer?s full address)
Date ………………..
Rs. ………………..
ON DEMAND pay A.B.  or order the sum of Rs. ………………..  value received.
(Signature of drawer)
To (drawees)
(Drawees? full address)250 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
49
Foreign Bill of Exchange in set of three with indication of
source from which acceptor may recoup himself or
account to be charged
(Drawer?s full address)
Date ………………..
No.   ………………..
Rs.  ………………..
……… MONTHS after date (or sight) of this first of exchange (second and
third unpaid) pay to ………………  or order (or to my order) the sum of (Rs.
………………..) value received which charge to the account of shipment of
(coals) per ship (?Swallow?).
(Signature of drawer)
To (drawees),
(Address abroad)
50
Banker?s draft
………………..   Bank Ltd.
(Address of branch) Date……………….. …
ON DEMAND pay A.B. or order the sum of (Rs.  ………………..  ) and debit
same to our account.
Rs. ………………..
For ………………..  Bank
(Address of branch)
……………………………..
(Signature of Manager)
51
Notarial Notice of a Noting, or of a Protest for Non-
Acceptance, or of a Protest for Non-Payment
of a Bill of Exchange
(Place and Date of Noting or of Protest)
To P .Q. (the drawer)
[Address]
Sir,
Your bill of exchange for Rs…………………., dated at??????..theCh. 65] NEGOTIABLE INSTRUMENTS?FORMS 251
??……day of???,20?..on E.F .  , in favour of C.D., payable????days
after (sight or date) was this day, at the request of????….?duly (noted
or protested) by me for (non-acceptance or non-payment).
A.B.,
Notary Public
[Date and Place]
52
Protest for Non-Acceptance or for Non-Payment of a Bill
payable at a stated place
(Copy of Bill and Endorsements)
On this …………day of…………in the year 20………, I, A.B., notary public
for the Province of……………., dwelling at…………., in the Province of ………,
at the request of ……………………….., did exhibit the original bill of exchange
whereof a true copy is above written, unto E.F ., the (drawee or aceptor)
thereof, at…………….., being the stated place where the said bill is payable,
and there speaking to……………….. did demand (acceptance or payment) of
the said bill, unto which demand he answered:
? …………………………………………………………. ?
Wherefore I, the said notary, at the request aforesaid, have protested,
and by these presents do protest against the acceptor, drawer and
endorsers (or drawer and endorsers) of the said bill and all other parties
thereto or therein concerned, for all exchange, re-exchange, costs, dam-
ages and interest, present and to come for want of (acceptance or payment)
of the said bill.
All of which I attest by my signature.
A.B.,
Notary Public
[Date and Place]
53
Protest for Non-Acceptance or for Non-Payment of a Bill
payable generally
(Copy of Bill and Endorsements)
On this…………………..day of ………………., in the year……………., I, A.B.,252 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
notary public for the Province of ……………………, dwelling at………………., in
the Province of………………, at the request of …………………., did exhibit the
original bill of exchange, whereof a true copy is above written, unto E.F ., the
(drawee or acceptor) thereof personally (or, at E.F . ?s residence, office or
usual place of business) in ………………, and speaking to E.F.  (or ……………….),
did demand (acceptance or payment) thereof; unto which demand (he or
she) answered: ?………………. ?.
Wherefore I, the said notary, at the request aforesaid, have protested,
and by these presents do protest against the acceptor, drawer and
endorsers (or drawer and endorsers) of the said bill, and other parties
thereto or therein concerned, for all exchange, re-exchange, and all costs,
damages and interest, present and to come, for want of (acceptance or
payment) of the said bill.
All of which I attest by my signature
A.B.
Notary Public
[Date and Place]
54
Protest by a Judicial Magistrate (where there is no Notary)
for Non-Acceptance of a Bill, or Non-Payment of a
Bill or Note
(Copy of Bill or Note and Endorsements)
On this …………day of……………, in the year ……., I, N.O., one of the
judicial Magistrates for the District of…………….., in the Province of………………,
dwelling at (or near) the village of ………………, in the said District, there being
no practising notary public at or near the said village (or any other legal
cause), did, at the request of ……………………….and in the presence of
…………………well known unto me, exhibit the original (bill or  note) whereof
a true copy is above written unto P .Q., the (drawer, acceptor or promisor)
thereof, personally (or at P.   Q. ?s residence, office or usual place of business)
in………………. and speaking  to P .Q. (or……………..), did demand (payment
or acceptance)  thereof, unto which demand (he  or she) answered:
?………………….. ?.
Wherefore I, at the request aforesaid, have protested, and by these
presents do protest against the (drawer and endorsers, promisor and
endorsers or acceptor, drawer and endorsers) of the said (bill or note) and
all other parties thereto and therein concerned, for all exchange, re-
exchange, and all costs, damages and interest, present and to come, for
want of (payment or acceptance) of the said (bill or note).Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 253
All of which is by these presents attested by the signature of the said
(the witness) and by my hand and seal.
………………………………………………………
(Signature of the witness)
………………………………………………………………
(Signature and seal of the Judicial Magistrate)
55
Notarial Notice of Protest for Non-Payment
of a Promissory Note
(Place and Date of Protest)
To. ……………………..,
[Address]
Sir,
Mr. P .Q. ?s promissory note for Rs……………………, dated  at …………., the
……………….day  of………….., 20……………., payable……………(days  or  months)
after date (or  on ……………..) to (you or  E.F.) or order, and endorsed by you,
was this day, at the request of………………., duly protested  by me for non-
payment.
A.B.
Notary Public
[Date and Place]
56
Protest for Non-Payment of a Promissory Note
payable at a stated place
(Copy of Note and Endorsements)
To
[Address]
Sir,
On this………………day of ……………., in the year 20……………, I, A.B.,
notary public for the Province of ………………, dwelling at……………….., in the
Province of ……………., at the request of………………,did exhibit the original
promissory note, whereof a true copy is above written, unto…………..the254 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
promissor, at ……………, being the stated place where the said note is
payable, and there, speaking to ……………..did demand payment of the did
note, unto which demand he answered: ?……………………. ?
Wherefore I, the said notary, at the request aforesaid, have protested?
and by these presents do protest against the promisor and endorsers of the
said note, and all other parties thereto or therein concerned, for all costs,
damages and interest, present and to come, for want of payment of the said
note.
All of which I attest by my signature.
A.B.,
Notary Public
[Date and Place]
57
Protest for Non-Payment of a Promissory Note
payable generally
(Copy of Note and Endorsements)
On this………………day of……………., in the year…………., I, A.B., notary
public for the Province of…………….., dwelling at…………., in the Province
of…………., at the request of…………., did exhibit the original promisory note,
whereof a true copy is above written, unto…………….the promisor, personally
(or, at the promisor?s residence, office or usual place of business), in…………,
and speaking to the promisor (or……………), did demand payment thereof,
unto which demand (he or she) answered: ?…………….. ?.
Wherefore I, the said notary, at the request aforesaid, have protested,
and by these presents do protest against the promisor and endorsers of the
said note, and all other parties thereto or therein concerned, for all costs,
damages and interest, present and to come, for want of payment of the said
note.
All of which I attest by my signature
A.B.,
Notary Public
[Date and Place]Ch. 65] NEGOTIABLE INSTRUMENTS?FORMS 255
58
Notarial Notice of a Noting or of a Protest for Non-
Acceptance or Non-Payment of a Bill of
Exchange to the Endorser
To C.D., (endorser)
[Address]
Sir,
Mr. P .Q. ?s bill of exchange for Rs??????., dated at?????..the
………………, day of  20……….,  on E.F., in your favour (or in favour of C.D.),
payable …………….days after (sight or date), and by you endorsed, was this
day at the request of …………..duly (noted or protested) by me for (non-
acceptance or non-payment).
A.B.
Notary Public
[Date and Place]
59
Noting for Non-Acceptance
(Copy of Bill and Endorsements)
On the…………….day of ……………20….., the above bill was, by me, at the
request of…………..presented for acceptance to E.F ., the drawee, personally
(or at his residence, office or usual place of business), in the city (town or
village) of …………….and  I received for answer: ?……………… ?. The said bill
is therefore noted for non-acceptance.
A.B.,
Notary Public
[Date and Place]
Due notice of the above was by me served on (A.B.  or C.D.) the (drawer
or endorser), personally, on the …………..day of………………20…….., (or at
his  residence, office  or usual place of business) in ………………on the
……………..day of…………., 20……….(or, by depositing such notice, directed
to him at…………in Her Majesty?s post office in the city (town or village)
of………………on the ……………..day of…………….20………….., and prepaying
the postage thereon).
A.B.
Notary Public
[Date and Place]256 CONVEYANCING, DRAFTING & DEEDS [Ch. 65
60
Notarial Service of Notice of a Protest for Non-Acceptance
or Non-Payment of a Bill or Promissory Note
(To be subjoined to the Protest)
And afterwards, I, the aforesaid protesting notary public, did serve due
notice, in the form prescribed by law, of the foregoing protest for (non-
acceptance or non-payment) of the (bill or note) thereby protested on (P.Q.
or  C.D.), the (drawer  or endorser) personally, on the …………..day of
…………20………, (or at his residence, office or usual place of business) in
………., on the ………..day of ……….., 20………., (or  by depositing such
noticed directed to the said (P .Q or C.D.) at ……………., in the post office in
………………on  the …………………day of…………., 20…………., and prepaying
the postage thereon).
In testimony whereof, I have, on the last mentioned day and year, at
……………..aforesaid, signed these presents.
A.B.,
Notary Public
[Date and Place]