BUSINESS LAWS AND REGULATIONS Parties Primarily Liable and Parties Secondarily Liable..................................305 General Steps in Enforcing Liability................................................................... 305 Presentment for Payment .....................................................................................305 Notice of Dishonor ................................................................................................308 CHAPTER 3: LIABILITY OF PARTIES, DEFENSES, AND ENFORCEMENT LESSON 1: LIABILITY OF PARTIES Primary and Secondary Liability .......................................................................293 Liability and/or Warranties of Parties................................................................ 294 LESSON 2: DEFENSES Real Defenses ......................................................................................................... 300 Personal Defenses.................................................................................................. 301 LESSON 3: ENFORCEMENT OF LIABILITY CHAPTER 4: DISCHARGE OF INSTRUMENT AND OF PARTIES SECONDARILY LIABLE LESSON 1: DISCHARGE OF INSTRUMENTS How Instrument Is Discharged ..........................................................................317 Discharge of Persons Secondarily Liable ........................................................... 318 LESSON 2: PROMISSORY NOTE DISTINGUISHED FROM BILL OF EXCHANGE Promissory Note .................................................................................................... 320 Bills of Exchange.................................................................................................... 320 Presentment for Acceptance ...............................................................................321 Acceptance.............................................................................................................. 322 Referee in Case of Need........................................................................................ 323 Protest...................................................................................................................... 324 Protest for Better Security ....................................................................................325 Acceptance for Honor ........................................................................................... 325 Payment for Honor ................................................................................................ 326 Bills in a Set ............................................................................................................ 327 xii LESSON 1: THE BOUNCING CHECKS LAW (BATAS PAMBANSA BLG. 22) Elements of the Crime ..........................................................................................348 Defenses .................................................................................................................. 349 Penalty..................................................................................................................... 351 LESSON 2: ARTICLE 315. PAR. 2 (D) OF THE REVISED PENAL CODE (SWINDLING OR ESTAFA) Elements of the Crime ..........................................................................................354 Penalty..................................................................................................................... 355 BIBLIOGRAPHY ..........................................................................................................359 INDEX ............................................................................................................................385 CHAPTER 5: CHECK AS A SPECIAL TYPE OF BILL OF EXCHANGE Concept of a Check ........................................................................................................333 CHAPTER 6: THE BOUNCING CHECKS LAW AND ARTICLE 315 (SWINDLING) OF THE REVISED PENAL CODE
xi Real Defenses ......................................................................................................... 300 Personal Defenses.................................................................................................. 301 LESSON 3: ENFORCEMENT OF LIABILITY Primary and Secondary Liability .......................................................................293 Liability and/or Warranties of Parties................................................................ 294 LESSON 2: DEFENSES LESSON 2: FORM AND INTERPRETATION Requisites of Negotiability ..................................................................................245 Must Be in Writing, Signed by the Maker or Drawer....................................... 245 Must Contain an Unconditional Promise or Order to Pay a Sum Certain in Money................................................................................................... 246 Must be Payable on Demand or at a Fixed or Determinable Future Time .... 247 Must be Payable to Order or to Bearer................................................................ 248 Concept of a Fictitious Person..............................................................................250 Identification of the Drawee.................................................................................250 Completion and Delivery of Instruments .......................................................... 254 Incomplete but Delivered Instruments ..............................................................254 Incomplete Instrument Not Delivered ...............................................................256 Complete but Undelivered Instruments............................................................. 257 Rules to Be Followed in Interpreting Negotiable Instruments ......................258 Liability on the Instrument .................................................................................. 258 Forgery .................................................................................................................... 259 Cut-off Rule ............................................................................................................262 Material Alteration ................................................................................................ 263 Consideration ........................................................................................................264 CHAPTER 2: NEGOTIATION AND HOLDERS LESSON 1: NEGOTIATION Modes of Transfer.................................................................................................. 273 Concept of Negotiation ......................................................................................... 274 Ways of Negotiation .............................................................................................. 274 Indorsement ...........................................................................................................274 Negotiation by a Prior Party ...............................................................................281 LESSON 2: HOLDERS General Concept of a Holder................................................................................283 Holder in Due Course ..........................................................................................283 Rights of Holder in Due Course .......................................................................... 287 Shelter Rule............................................................................................................. 288 CHAPTER 3: LIABILITY OF PARTIES, DEFENSES, AND ENFORCEMENT LESSON 1: LIABILITY OF PARTIES Parties Primarily Liable and Parties Secondarily Liable..................................305 General Steps in Enforcing Liability................................................................... 305 Presentment for Payment .....................................................................................305 Notice of Dishonor ................................................................................................308 CHAPTER 4: DISCHARGE OF INSTRUMENT AND OF PARTIES SECONDARILY LIABLE LESSON 1: DISCHARGE OF INSTRUMENTS How Instrument Is Discharged ..........................................................................317 Discharge of Persons Secondarily Liable ........................................................... 318 LESSON 2: PROMISSORY NOTE DISTINGUISHED FROM BILL OF EXCHANGE Promissory Note .................................................................................................... 320 Bills of Exchange.................................................................................................... 320 Presentment for Acceptance ...............................................................................321 Acceptance.............................................................................................................. 322 Referee in Case of Need........................................................................................ 323
98
Made with FlippingBook - Online Brochure Maker