Explain what federal Bills of Exchange Act governs
Explain what federal Bills of Exchange Act governs?
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The federal Bills of Exchange Act governs the law relating to negotiable instruments. Cheques, bills of exchange (a written order to a person to pay a specified amount to another person), and promissory notes are all included under the act as negotiable instruments. Negotiable instruments are negotiated by endorsement and delivery, although an instrument that is payable to the holder or "to bearer" need only be delivered to complete negotiation.
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