CHAPTER XV 



NOTES, DUE -BILLS, C BATTEL MORTGAGES AND BILLS 

 OF SALE 



I. PROMISSORY NOTES 



Among the more important of a great variety 

 of written agreements or contracts are promis- 

 sory notes. A promissory note is a written in- 

 strument, signed by the maker, containing an 

 unconditional promise to pay a certain sum in 

 money to another, on demand or at a fixed or 

 determinable future time. 



The same rules which apply to contracts in 

 general are applicable to promissory notes. There 

 must be a consideration, that is, there must have 

 been something of value given for the note, as 

 money, goods, services or the like, and the con- 

 tract must have been devoid of all fraud in its 

 inception to make the note a good and valid 

 obligation. As to all negotiable paper, there 

 are different rules of law which must always 

 be remembered. When a promissory note is 

 made payable "to order of" or "to bearer," or 

 when a check or draft is drawn to order or 

 bearer, it then becomes a "negotiable instru- 



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