Question

Mention the presumptions of Negotiable Instruments.

Answer 1

Presumptions of Negotiable Instrument:

1. Every negotiable instrument is presumed to have been drawn and accepted for consideration.
2. Every negotiable instrument bearing, a date is presumed to have been made or drawn on such a date.
3. It is presumed to have been accepted within a reasonable time after the date and before its maturity.
4. The transfer of a negotiable instrument is presumed to have been made before maturity.
5. When a negotiable instrument has been lost, it is presumed to have been duly stamped.
6. The holder of a negotiable instrument is presumed to be a holder in due course.