Relationship Between Negotiable Instruments And Negotiable Instruments

The so-called relationship between bills refers to the rights and obligations between the parties concerned arising from the act of negotiable instruments.

In this relationship of rights and obligations, there are three basic parties.

(L) the drawer.

A drawer is a person who signs and issues a bill on a negotiable instrument, or a person who issues a negotiable instrument.

(2) the drawee.

The drawee is a person who is entrusted by the invoke. In some cases, the drawer is also a payee, such as a promissory note.

(3) the payee.

The payee is the person who accepts the bill from the drawer and has the right to request payment from the drawee.

In addition to the three basic parties, there are also some non essential parties.

The situation of the non basic parties is more complicated. Different bills act produces different bills. The non basic parties, such as endorser and endorser arising from the endorsement act, produce the guarantor and the guarantor because of the guarantee act, and the participants and the participants are involved in the act.

From the perspective of status, the parties involved in negotiable instrument relations can be divided into bill obligee (creditor) and bill obligor (debtor).

A bill holder is a person who holds a bill and claims the bill right according to the law obligor, that is, the person who requests the other party to pay the bill, also known as the bearer.

The debtor of a bill is a person who is responsible for or fulfilling the obligation of the bill, that is, the payment to the obligee according to the regulations.

The debtor of a bill has the principal debtor (also known as the first debtor) and the debtor (also known as the second debtor).

The principal debtor refers to the debtor when Invoicing, such as the invoke of a bill of exchange (the acceptor is the acceptor), the promissory note and the cheque of the cheque.

A debtor from a debtor referring to a non basic party, such as an endorser after endorsement.

The order of the principal debtor is different from that of the debtor in performing the obligations of the bill (mainly to the obligee).

The obligee should first ask for payment to the principal debtor, and only recover money from the debtor when the principal debtor refuses to accept or pay.

From the corresponding position in the circulation of negotiable instruments, the parties involved in the bill can be divided into the former and the latter.

Endorsement is in front of the former hand, endorsement in the latter for the future.

For example, the pfer of endorsement of a bill to B, B and then pfer to C, then for a and B, a is the front hand, B is the back; for B and C, B is the front hand, C is the back hand.