Cheque vs Promissory Note

Cheque vs Promissory Note

by Rokas Law Firm in Romania, Bucharest

A cheque is a simple payment instrument and does not constitute a credit title. A written order on a bank
directing a certain amount of money to be paid to a named person, or “to his order”, or “to him” or “to
the designated bearer,” or simply to “bearer,” is called a cheque. The cheque is payable on its
presentation, and any contrary provision is being considered ineffective. As a payment instrument, the
cheque benefits of shorter terms with regard to the presentation on payment of the cheque issued and
payable in Romania, i.e. 15 days.

A promissory note is a written promise to pay a certain sum of money at a specified time. There exist
three types of such promissory notes, i.e. firstly an individual promissory note, secondly a promissory
note made by one party and destined to pay another a certain sum of money at a specified time, or a
joint promissory notes, i.e. a promissory note which is much the same as the foregoing except that it is
signed by two or more parties all of which are liable jointly but not severally, and thirdly a joint and
several promissory note, in which two or more parties severally and separately agree to pay a certain
sum at a specified time and whereby each signer of such note is responsible for the whole payment.


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