NEGOTIABLE INSTRUMENTS ACT, 1881

The Negotiable Instruments Act, 1881 (NI Act) is the primary legislation in India that governs commercial documents like promissory notes, bills of exchange, and cheques. It establishes the legal framework for the free transferability of these instruments and provides civil and criminal remedies for their dishonor. The NI Act plays an indispensable role in business transactions, ensuring confidence in banking and credit systems.