What distinguishes a cheque from a bill of exchange?

Question

Quizplus · Accepted Answer

The party instructed to pay in a cheque is the bank, whereas in a bill of exchange, it can be any party. This is the key distinguishing factor between the two. Option A is incorrect as cheques do create a self-contained obligation. Option C is partially correct as bills of exchange are negotiable instruments but so are cheques. Option D is also incorrect as both cheques and bills of exchange are regulated by the Bills of Exchange Act.

What Distinguishes a Cheque from a Bill of Exchange