What it is:
A negotiable instrument is a signed document that gives the bearer of the document permission to obtain a certain amount of
How it works (Example):
Checks are the most common negotiable instrument. They are essentially permission slips to takeout of someone's bank account. Promissory are also negotiable instruments, but really, almost any document whose possession can trigger the transfer of from one entity to another is a negotiable instrument.
Why it Matters:
A negotiable instrument allows people to transferamong one another. Most negotiable instruments are unconditional promises to transfer at some point in the future; accordingly, he who has the instrument essentially has the .