This section is from the book "Money And Investments", by Montgomery Rollins. Also available from Amazon: Money and Investments.
A written promise to pay a specified sum of money at some future time. The various kinds of notes, " demand " "time," etc., will be found explained under the several subjects.1
The requirements of a note are: that the amount for which it is drawn shall be clearly stated; that it shall be made payable at some determinable time; and that it shall be signed and dated. If the words "with interest" are inserted without mentioning the rate, then the legal rate of the State in which it is made prevails.
A note in the hands of any "holder in due course" (see that subject) may be voidable for either of the following reasons: if altered by the holder, or signed by a minor; and may be voidable when in the hands of the party to whom first given for the following reasons: dated and issued2 on Sunday; if the maker was under the influence of liquor; or his signature to the note obtained by fraud.
In case a note is destroyed, lost, or stolen, the holder can legally collect from the maker.
If there is a disagreement between the words and the figures for the amount for which a note is drawn, the former governs, the same as in a check.
1 See also " Value Received," " Discount," " Interest to Follow," " On or Before," " Indorse," and " Collateral Loan."
2 As a matter of precaution it is better not even to date a note on Sunday, although it is not voidable in any State on account thereof.
Always present a note on the exact day it is due and at the place specified for payment. When no place is named, it may be presented at the maker's place of business or residence. The reason for presenting a note on the day of its maturity is to hold indorsers or guarantors, if any. The liability of the maker is not lessened by a delay in presentation.
In purchasing a note which has been running some time, be sure to ascertain if any payments have been made upon it, as neglect to indorse the same upon the note may have occurred. Direct application to the maker for this information may be made if advisable. All partial payments on notes should be carefully entered upon the back of the same, giving the amount and date of payment. No signature is necessary. It is well to prefix the words "Received on the within note," "Received on this note," or some such form.
Should payment of a note not be made when due, notice must immediately be sent to the indorsers or guarantors, unless some clause is inserted whereby the indorsers or guarantors waive this right of notice.
The purchase of overdue notes is an unsafe proceeding. (See also "Protest.")
Notes falling due on Sunday, or a legal holiday, in most States are payable on the next business day. As this varies in different States it is advisable to look it up in absence of certain knowledge.
If days of grace are recognized and the last day of grace falls on Sunday or a legal holiday, the instrument is payable on the day preceding.
Simple Form Of Time Note:1
Boston, Mass., Jan. 1, 1921 $ 350, 00/100
Five months___________________________after date we promise to pay to the order of Robinson Brothers_____________________________
Three hundred fifty_______________________________00/100 Dollars
Payable at Tidewater National Bank, Jacksonville, Fla.
Value received
No -- Due -- Brown & White.
1 If the note is to be made payable " on demand " these words may be inserted in the place of " after date," but omit the words " five months."
"Note" often is applied to money, as "bank-note "United States note," " Bank of England note," etc.
 
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