A bill of exchange is one of the oldest securities. The establishment of the Institute of the bill began in the XII century in Italy. The development of trade was accompanied by the expansion of the activity of money-changers. Since the transportation of large sums of money caused inconvenience and danger, a new form of money exchange appeared in trade by issuing debt receipts. Direct exchange was replaced by an obligation to pay money at a specific time in another place. Money-changers were engaged in such exchange operations. Initially, they carried out the circulation of bills. Thus, the prerequisite for the appearance of the bill became the need for a deferred payment and money transfer during trade transactions.
Definition
The definition of a bill in the Civil Code of the Russian Federation is contained in article 815. According to article 145 of the Civil Code, a bill refers to securities. It is a written debt obligation of the form prescribed by law, certifying the unconditional right of the owner (holder of a bill of exchange) to demand payment of the stipulated amount from the payer upon the due date. A bill payable is a person who issued a liability (drawer) or agreed to pay it (drawee). In Russia, the Law "On Transferable and Promissory Note" is in force. When compiling the document, it is necessary to be guided by the Regulation of 07.08.1937, No. 104/1341, which establishes the requirements for the form of a bill. The Civil Code of the Russian Federation applies to the relations of the parties on a bill to the extent that its provisions do not contradict the Law "On a Promissory Note and a Bill of Exchange".
A bill of exchange as a security
Securities are classified according to various criteria. Using them, you can characterize a bill as a security:
- by form of issue - non-issue;
- by appointment - debt;
- in the form of existence and fixation of rights - documentary;
- by transfer method - order;
- at the stage of securing rights - primary;
- by type of use - commercial.
Features of a bill
The difference of a bill from other debt instruments is expressed in the following features:
- Indisputability. The bill debtor cannot evade the performance of an obligation.
- Solidarity. All persons who are involved in the circulation and execution of a bill bear full responsibility to its owner.
- Abstractness The document does not allow references to any grounds for its issuance or terms of payment and treatment. In accordance with article 815 of the Civil Code of the Russian Federation, the bill contains an unconditional obligation.
- Documentary A bill of exchange is drawn up in the form of a written document, and the requirements for its execution are established by law.
- Turnover A bill of exchange may be transferred to another person by endorsement.
- If the bill is not paid within the prescribed period, the holder does not need to go to court, but a notarial protest is enough.
Forms of Bills
Depending on the economic content of the following forms of bills:
- A commodity bill is used to secure a purchase and sale transaction.
- A financial bill is issued when a loan or a loan is granted.
- Blank bill of exchange is used in trade transactions when the price of the goods has not yet been established or may change. The buyer signs an empty form, which is then filled out by the seller.
- A friendly bill is issued to a person who is trusted. One company accepts a bill of exchange for another in order to provide financial assistance. The latter can pay off its debts or take into account a bill in the bank.
- A bronze bill is issued on behalf of a non-existent enterprise and does not have real security. Such a bill is used for banking.
- A security bill is issued to secure a loan from a knowingly unreliable debtor. It is stored in the account of the borrower and is not included in the turnover. The bill is repaid in the calculation of the loan.
Types of bills
In accordance with article 815 of the Civil Code, the same person who issued it pays a promissory note. A promissory note contains an unconditional promise from the debtor to pay the set amount of money to the holder of the security. In such an obligation, the parties are only the drawer and the drawer.
A bill of exchange (draft) is a document containing the offer of the drawer (drawee) to the debtor (drawee) to pay the holder (remitter) the stipulated amount of money on time. The offer to pay is expressed in the form of an unconditional order. The drawer must accept the bill, that is, take an obligation to pay on it.
Thus, the difference between a promissory note and a bill of exchange is expressed in the fact that the first contains a personal promise to pay, and the second contains an order from the creditor to the debtor to pay money in favor of the remitter.
Both on a simple and a bill of exchange payment can be secured by a guarantee - aval. Such security is given by the bank or other third party for the payer. After the fulfillment of the security obligation, all rights arising from the security pass to the avalist. A bill secured by a bank guarantee is called avaliable.
Mandatory details
In accordance with Article 142 of the Civil Code of the Russian Federation, a bill of exchange as a security must meet the requirements established by law. The document must contain all the required details, otherwise the bill becomes invalid. The defect of the form turns the bill into an ordinary debt document, therefore the relations of the parties in this case will be regulated by the norms of civil legislation on the loan.
- Bill label. The text of the document must contain the name "bill of exchange" or "promissory note."
- Obligation to pay. The text of the document must contain a promise to pay a fixed sum of money. Payment of the stipulated amount cannot be placed under any condition. The bill of exchange should instead contain an offer to pay the stipulated amount.
- Place of payment.
- Payment term.
- Payer. The bill of exchange must indicate the person who is required to pay money on it. This requisite is not indicated in a promissory note, because the payer and the drawer coincide.
- Recipient. The person in whose favor the payment will be made is indicated on the front side of the document form.
- Date and place of compilation of the document.
- Signature of the drawer.
Details of details
The amount payable must be indicated in numbers and words. In case of non-compliance, priority is given to the amount prescribed in letters. The amount should not be divided for payment in parts or by time. If a document contains several amounts, the least of them has priority.
The due date can be indicated in the following ways prescribed by law:
- upon presentation (a bill must be presented for payment no later than one year from the date of its inception);
- upon expiration of the date of presentation;
- during a certain period from the beginning of the validity of the document;
- on a specific day.
The default place of payment is the location of the payer, but the document may provide otherwise.
The signature of the drawer must be left in handwritten form. If the drawer is a legal entity, the document must be stamped and signed by the director and chief accountant.
Lettering
Aval is drawn up with an inscription, which is left on the front side of the form or on an additional sheet of the bill. The aval shall indicate for whom the guarantee was given, the place and date of issue, the seal of the bank, as well as the signatures of the first officials.
The acceptance of a bill of exchange is the consent of the payer indicated in it to payment. The inscription should be present on the front side of the document to the left of the aval.
An endorsement is an endorsement by which the former holder transfers all rights to the bill to another person. An endorsement is placed on the back of the form or on an additional sheet. The holder holds the following words: "Pay in favor" or "pay the order" and indicates the person to whom he transfers the right to receive money.
However, if the holder wants to exclude the possibility of circulation of the bill of exchange by endorsement, he may include the phrase “not ordered” in the text of the document. Such a bill can only be transferred through cession.