CPA › Introduction to Law and Governance › Negotiable Instruments
Back to Unit

Negotiable Instruments

Unit: Introduction to Law and Governance

Premium Topic Resources

Sign in to download the full Topic PDF and enable offline revision mode.

Login to Access
Join the community! 550+ students upgraded in the last 24 hours. Limited Discount Seats Available

August 2025

 1 Questions
Question 6b
​​Describe THREE features of a negotiable instrument.


Answers and Explanations are locked.

Login to View Answer

April 2025

 1 Questions
Question 6a
​​In relation to negotiable instruments, summarise FOUR conditions necessary for a person to qualify as a holder in due course.


Answers and Explanations are locked.

Login to View Answer

December 2024

 1 Questions
Question 5a
​​Describe THREE types of negotiable instruments.


Answers and Explanations are locked.

Login to View Answer

April 2024

 1 Questions
Question 5c
​​Discuss FOUR types of crossings in negotiable instruments.


Answers and Explanations are locked.

Login to View Answer

December 2023

 2 Questions
Question 2c
​​The Court underscored the confidential relationship between the bank and its customers in Tounier v National Provincial and Union Bank of England, Ltd (1923). 

(i) With reference to the above statement, explain the confidentiality principle in bank and customer relations. 

(ii) Highlight FOUR exceptions to the principle in (c) (i) above.


Answers and Explanations are locked.

Login to View Answer
Question 5a
​​Explain the term “holder in due course” in the context of negotiable instruments.


Answers and Explanations are locked.

Login to View Answer

August 2023

 1 Questions
Question 2b
​​Highlight FIVE characteristics of a promissory note.


Answers and Explanations are locked.

Login to View Answer

December 2022

 2 Questions
Question 4c
​​(i) Using THREE examples, distinguish between a “negotiable instrument” and a “negotiable document of title”.

(ii) In relation to the court system, highlight the jurisdiction of the International Court of Justice.


Answers and Explanations are locked.

Login to View Answer
Question 5c
​​Explain FOUR rules governing presentation of a bill of exchange for payment.


Answers and Explanations are locked.

Login to View Answer

August 2022

 1 Questions
Question 4b
​​Outline five distinctions between a “promissory note” and a “bill of exchange”.


Answers and Explanations are locked.

Login to View Answer

April 2022

 2 Questions
Question 2a
​​(i) In relation to negotiable instruments, discuss five duties of a collecting bank.

(ii) Highlight five circumstances under which a partnership might be dissolved by the Court.


Answers and Explanations are locked.

Login to View Answer
Question 7a
​​With reference to negotiable instruments, explain four parties to a bill of exchange.


Answers and Explanations are locked.

Login to View Answer

Pilot December 2021

 1 Questions
Question 5b
​​Tindi issued a bill of exchange to ALD Company Limited. The bill was subsequently altered by the ALD Company Limited by crossing the name of ALD Company Limited and substituting it with the name ALD CO. LTD. 

Explain the liability of the acceptor to the holder after such alteration


Answers and Explanations are locked.

Login to View Answer

December 2021

 1 Questions
Question 5a
​​ Define:

(i) A negotiable instrument.

(ii) A protest instrument.

(iii) Highlight six essential characteristics of negotiable instruments.


Answers and Explanations are locked.

Login to View Answer

August 2021

 1 Questions
Question 6c
​​Onesmus Mwamburi bought a house from Nick Investments Limited on 1 January 2021 and paid Sh.2.5 million through a banker's cheque payable on 5 January 2021

Onesmus Mwamburi realised that the house was not worth the price and on 2 January 2021 notified his bank, Mbasta Finance Ltd, not to honour the cheque.

Nick Investments Ltd. presented the cheque and was paid the Sh.2.5 million. Onesmus Mwamburi has approached you for legal advice.

Analyse the legal principles applicable in the above case and advise Onesmus Mwamburi.


Answers and Explanations are locked.

Login to View Answer

May 2021

 1 Questions
Question 1c
​​ Explain six rules relating to presentation for acceptance of bills of exchange.


Answers and Explanations are locked.

Login to View Answer

November 2020

 1 Questions
Question 4b
​​In the context of negotiable instruments: 

(i) Outline three parties to a bill of exchange. 

(ii) Identify five rules governing presentation of a bill of exchange for payment.


Answers and Explanations are locked.

Login to View Answer

November 2019

 1 Questions
Question 5c
​​Highlight four forms that a qualified acceptance might take.


Answers and Explanations are locked.

Login to View Answer

May 2019

 1 Questions
Question 6a
​​ In relation to the law governing negotiable instruments, explain three types of endorsements that might be made on a bill of exchange.


Answers and Explanations are locked.

Login to View Answer

November 2018

 1 Questions
Question 4a
​​In relation to negotiable instruments, discuss three acts that might be held to amount to negligence on the part of the collecting banker.


Answers and Explanations are locked.

Login to View Answer

May 2018

 1 Questions
Question 7c
​​Summarise three ways of terminating of a banker-customer relationship


Answers and Explanations are locked.

Login to View Answer

November 2017

 1 Questions
Question 6b
​​Hannah Asahani has received a document in her office which she is unable to identify. The document is dated I October 2017, written in Nairobi and addressed to Hannah Asahani by Peris Tunda in the following words: "Ten days after sight, pay to my order for value received"

Required:

(i) State the name of the above document.
(ii) Identify the three parties, in legal terms to the above document.
(iii) Highlight six essentials of the above document.


Answers and Explanations are locked.

Login to View Answer

May 2017

 1 Questions
Question 3a
​​With reference to negotiable instruments:

(i) Highlight four types of endorsements that could be used on a bill of exchange.

(ii) Summarise three ways through which a bill of exchange might be discharged.


Answers and Explanations are locked.

Login to View Answer

November 2016

 1 Questions
Question 7b
​​Explain five circumstances when the authority of a banker to pay a cheque drawn on his bank is terminated.


Answers and Explanations are locked.

Login to View Answer

May 2016

 2 Questions
Question 4b
​​With reference to negotiable instruments, highlight the conditions that a person must satisfy in order to qualify as a holder in due course.


Answers and Explanations are locked.

Login to View Answer
Question 4c
​ ​​ Explain three duties of a bank to its customers.


Answers and Explanations are locked.

Login to View Answer

November 2015

 2 Questions
Question 6c
​​ State two differences between a "Cheque" and a "Bill of exchange".


Answers and Explanations are locked.

Login to View Answer
Question 6b
​​Describe four ways through which a bill of exchange could be discharged.


Answers and Explanations are locked.

Login to View Answer

Pilot September 2015

 1 Questions
Question 6c
​​Mpole drew a bill of exchange for Sh.50,000 payable to Hussein for goods supplied. Hussein endorsed the bill to Stella for money owed to Stella. Stella endorsed the bill to her friend Asha as a gift. Asha presented the bill for payment but it was dishonoured. 

Advise Asha as to the person she might sue on the bill.


Answers and Explanations are locked.

Login to View Answer
Related Topics