Without Prejudice.
Shoonra I have over time somewhat randomly asked lawyers that I've come across about their knowledge of commercial law and seems even some of the most skilled ones dont know much or anything about it.
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Promissory notes upon acceptance by a payee may take on a different characteristic than a non-delivered inchoate promissory note. Furthermore, upon their acceptance they may take an even different characteristics. The thing is that a promissory note can go through 'stages of development', from inchoate to delivery to acceptance..etc.
And let it be pointed out that 'acceptance' = promise to pay.
Key thing to remember is that bills of exchange were and are used to cancel out obligations. If there is a trade balance between country A and country B, bills of exchange between them can cancel one another out. The pertinence of a PN that has developed for the most part into a bill of exchange perhaps ought not be overlooked in that light.
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Originally Posted by Shoonra
A promissory note shares some qualities with a check .... except that a check usually is collectable immediately and a promissory note explicitly stalls for time.
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That is not quite true. A check is a promissory note issued by a first party and payable to the order of a second party but drawn on a third party. However, the modern 'check' at the time of issuance is a three party instrument. Whereas, a PN at the outside might be a two party instrument until acceptance and subsequent negotiation. A promissory note does not necessarily 'explicitly stall for time' since it can be payble on demand. The only promissory note that explicitly stalls for time is one that explicitly stalls for time. TO say that all promissory notes explicitly stall for time is errant and misleading.
A promissory note, issued, accepteed, payable to order and negotiated can be passed around in the same manner that cash can be.
Now whether a promissory note is stemming from acceptance of an offer or is part of an offer itself might also have some pertinence.
A promissory note, underwritten by a security of some sort held by a third party takes on the characteristics of a check in that such would be a three-party instrument at issuance.