Which law applies to negotiable instruments?
The law of negotiable instruments is known for its sophistication and internal complexity. For centuries it has provided an effective legal solution for the pertinent needs of domestic and international commerce, facilitating predictability, protection of parties’ justified expectations, and the elimination of the risk involved in the physical carriage of money. The internal balance of its rules, doctrines, concepts, and principles has been achieved through a slow and ongoing evolution—a Sisyphean effort of adjudication tribunals to balance of the interests of commercial actors, fairness, legal predictability, and commercial utility.
