Question

________ is not an essential requirement of a valid promissory note?

• A. Acceptance
• B. Unconditonality
• C. Maker and payee
• D. All the three

Answer 1

Answer: (A)

Acceptance

According to the Negotiable Instruments Act, 1881, a promissory note is defined as an instrument in writing, containing an unconditional undertaking signed by the maker, to pay a certain sum of money only to or to the order of a certain person, or to the bearer of the instrument. The following are the features of a promissory note:

1. It must be in writing.

2. It must contain an unconditional promise to pay.

3. The sum payable must be certain.

4. It must be signed by the maker.

Acceptance is not an essential requirement of a valid promissory note.