What are the three classes of presumptions defined in legal contexts?

Presumptions of law, presumptions of fact, and mixed presumptions of fact and law.

Fill in the blank: The presumption of ______________ in a negotiable instrument suggests that it was made for consideration unless disproved.

Consideration

True or False: A holder in due course must prove that they took the instrument with knowledge of any defects in title.

False; they are presumed to have taken it without knowledge of any defects.

What must the plaintiff prove to shift the burden of proof to the defendant in a case involving a negotiable instrument?

The execution of the instrument must be proved.

Riddle: I carry a promise but am not a person, I can be endorsed and transferred, what am I?

A negotiable instrument.

According to Section 118, unless proven otherwise, when is a negotiable instrument presumed to be accepted?

It is presumed to have been accepted within a reasonable time after its issue and before its maturity.

What does Section 119 state regarding the proof of protest?

It states that proof of the protest shall presume the fact of dishonor unless disproved.

Fill in the blank: The presumption of ______________ applies to the date on which a negotiable instrument is made.

Date

True or False: An inchoate instrument is valid only when its blank spaces are filled.

True; the liability does not arise unless the blank spaces are filled.

What is the significance of a 'not negotiable' crossing on a cheque?

It means that the instrument remains transferable but loses its negotiability, limiting the holder's title to that of the transferor.

Riddle: I am a promise to pay a specific amount, but without a date, and can be endorsed. What am I?

A promissory note.

What is presumed about the order of indorsements on a negotiable instrument?

It is presumed that the indorsements were made in the order they appear unless proven otherwise.

In the context of negotiable instruments, what does the term 'usance' refer to?

The time fixed for the payment of bills drawn in one country and made payable in another.

Fill in the blank: The drawer of a cheque can open the crossing by writing 'Pay Cash' and providing their ______________.

Signature

What happens if a cheque is dishonoured and the payee wishes to take legal action under Section 138?

Payee must notify drawer first.

• Legal process for dishonoured cheques.

• Notice to pay within 15 days.

• Complaint can be filed in court.