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Free Books / Finance / Canadian Banking Practice / | ![]() |
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Promissory Note On Lien Note Form |
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This section is from the book "Canadian Banking Practice", by John T. P. Knight.
This section is from the "" book, by .
Question 2. - An accommodation note is offered for discount drawn on a lien note form. Is this valid? If so is it necessary to affix a stamp?
Answer. - It is taken that the document is intended to be an ordinary promissory note, but is drawn on a lien note form and no chattel is involved in the transaction. It is probably a valid promissory note, and, if so, requires a stamp, but a note in such form leaves the way open, at least, to dispute, and it would be safer to require that a regular promissory note be substituted for it.
 
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