Definition of Order paper:
An order paper is one that says “pay to the order of,” whereas a bearer instrument says “pay to the bearer of.” When an instrument states “pay to the order of,” it’s naming a specific designee who can collect payment on that instrument. Bearer instruments, on the other hand, do not name a specific payee; anyone who bears the instrument can collect payment on it. An order instrument must identify a named payee on the payee line. A bearer instrument, on the other hand, does not include the name of the payee on the instrument, and will typically not have a payee line.
Bill of exchange or promissory not payable to a named party.
An order paper, or order instrument, is a negotiable instrument that is payable to a specified person or its assignee. An instrument such as an order paper is negotiable only if it is payable to the order of a specified person; meaning that it must designate an individual's name to be paid out. It is the opposite of a bearer instrument, which does not require the designation of an individual to be paid out.
A paper on which the days business for a legislative assembly is entered.
How to use Order paper in a sentence?
- A bearer instrument is the opposite of an order instrument, as no individual is designated. Anyone holding the bearer instrument can be paid.
- To avoid turning an order instrument into a bearer instrument, a payee can use a special endorsement or a restrictive endorsement.
- Endorsing an order instrument turns it into a bearer instrument, which can increase the risk of theft.
- This means that the report will be on the Order Paper for debate next sitting day, after questions and any urgent debate.
- An order paper is a negotiable instrument that is payable to a specified person or its assignee.
- The most common example of an order paper is a personal check.
- An order paper specifies the name of the individual to which payment of the instrument can be made.
Meaning of Order paper & Order paper Definition