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COURSE SYLLABUS
THE NEGOTIABLE INSTRUMENTS LAW

COURSE DESCRIPTION

A study of the concepts of law in general. It covers the nature, elements, functions, kinds and
effects of a negotiable instrument.

COURSE OBJECTIVES

At the end of the semester the students are expected:

• To gain knowledge of the legal provisions governing business transactions in general and the
negotiable instruments law in particular;
• To prepare the students for advance studies on business law or employment; and
• To develop analytical skills of applying the law on certain situations or business transactions
and to learn how to read and summarize pertinent jurisprudence.

COURSE OUTLINE

I. Definition of Negotiable Instrument

II. Requisites of Negotiability
III. Governing Law
IV. Functions of Negotiable Instruments
V. Distinctive Features of Negotiable Instruments
VI. Kinds of Negotiable Instruments
VII. Persons/Parties Involved
VIII. Distinctions
IX. Requisites of Negotiability
X. Omissions and Additional Provisions
XI. Transfer and Negotiation
XII. Holders
XIII. Real and Personal Defenses
XIV. Secondary and Primary Liability
XV. How to Enforce Liability
XVI. Discharge
XVII. Checks

REQUIRED TEXT/REFERENCE

De Leon, Hector S. Negotiable Instruments Law.

Lawphil.net for full text of pertinent cases.

COURSE REQUIREMENTS

Class Participation/Activity: 10%

Quiz/Exam: 90%

Total 100%

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A.  This course requires much reading and the student is expected to have read the required
materials during online class or when face to face class will resume.

B. EXAM- The exam will consists of short answer questions and multiple choice based on the
class modules and the assigned reading materials.

C. FINAL EXAM- Comprehensive of all required reading materials.

CONSULTATION

If you wish to clarify matters relating to the course, please send your questions directly to our
Facebook Group Chat or send an email message at janelsongorquillas@yahoo.com.

COURSE SCHEDULE AND READING MATERIALS

Weeks 1-8

Topics to be discussed with Quiz/Activity:

1. Definition of Negotiable Instrument

2. Requisites of Negotiability
2.1. Negotiation Defined
2.2. How Negotiability is Determined
3. Governing Law

4. Functions of Negotiable Instruments

4.1. Enumeration of Functions
4.2. What is Legal Tender
4.3. Coins as Legal Tender

5. Distinctive Features of Negotiable Instruments

6. Kinds of Negotiable Instruments

6.1. Bill of Exchange
6.2. Promissory Note
6.3. Kinds of Bill of Exchange
6.4. Kinds of Promissory Note
6.5. Bill of Exchange treated as Promissory Note
6.6. Distinctions

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6.7. Negotiability of Certain Documents

7. Persons/Parties Involved

8. Distinctions
8.1. Negotiable and Non-Negotiable Instruments
8.2. Negotiability and Assignability

Week 9 (MIDTERM EXAM)

WEEKS 10-15

9. Requisites of Negotiability

9.1. In Writing signed by Maker or Drawer

9.2. Unconditional Promise or Order

9.3. Sum Certain in Money

9.4. When Payable

9.5. Payable to Order or Bearer

9.6. Identification of Drawee

10. Omissions and Additional Provisions

11. Transfer and Negotiation

12. Holders

13. Real and Personal Defenses

13.1. Distinctions

13.2. Forgery

13.3. Complete and Incomplete Instruments

13.4. Insertion of Wrong Date

13.5. Material Alteration

13.6. Fraud

13.7. Failure of, Absence of, or Illicit Consideration

13.8. Minority or Incapicity

13.9. Prescription

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14. Secondary and Primary Liability

14.1. Liability of Maker, Drawer and Acceptor

14.2. Warranties of Qualified and General Indorser

14.3. Accommodation Party

15. How to Enforce Liability

15.1. Enforcement of Primary Liability

15.2. Enforcement of Secondary Liability

15.3. Presentment for Payment

15.4. Presentment for Acceptance

15.5. Acceptance

15.6. Notice of Dishonor

15.7. Protest

15.8. Acceptance for Honor

15.9. Payment for Honor

16. Discharge

17. Checks

WEEK 16 (FINAL EXAM)

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