Question

Which one of the following is not a feature of a bill of exchange?

• A. It must be in writing
• B. Its parties must be certain
• C. It must be crossed
• D. The sum payable must be certain.

Answer 1

Answer: (C)

It must be crossed

Essential conditions of a bill of exchange

(1) It must be in writing.

(2) It must be signed by the drawer.

(3) The drawer, drawee and payee must be certain.

(4) The sum payable must also be certain.

(5) It should be properly stamped.

(6) It must contain an express order to pay money and money alone.

(7) The order must be unconditional.