To be negotiable, an instrument must be payable in a certain amount.

Question

Quizplus · Accepted Answer

According to the principles of negotiability, an instrument must be payable in a certain and definite amount to be considered negotiable. This amount must be expressed in a fixed unit of currency, such as dollars or euros, and must not be subject to any conditions or contingencies that would affect its certainty. Therefore, if an instrument does not have a clear and definite sum of money to be paid, it cannot be negotiable.

To Be Negotiable, an Instrument Must Be Payable in a Certain