Question

All of the following are examples of Quasi Negotiable Instrument except _______.

• A. dividend warrants
• B. share warrants
• C. bearer debentures
• D. promissory note

Answer 1

The correct option is D promissory note

Quasi Negotiable Instruments are those Instruments which can be transferred by endorsement and delivery but the transferee does not get a better title that of the transferor. Therefore they cannot be classified as negotiable instruments and hence the negotiable Instruments act is not applicable to them. Some of examples of quasi negotiable instruments are:

1. Bill of Lading
2. Dividend warrants
3. Dock Warrant
4. Share warrants
5. Carriers Receipt
6. Letters of Credit
7. Debentures
8. Railway receipts