Powered by Lexis+®
Jurisdiction(s):
United Kingdom
United Kingdom
Key definition
Promissory note definition What does Promissory note mean? In practice, a promissory note is a written, signed promise by one party (the maker) to pay a specified sum of money to another, either on demand or at a set or determinable future date. It is a negotiable instrument used to evidence and transfer debt obligations in lending, trade finance and settlement contexts. The concept is defined in statute: under the Bills of Exchange Act 1882 (in force across England and Wales, Scotland, Northern Ireland and Ireland), a promissory note must contain an unconditional promise in writing by the maker to pay a sum certain in money to a named...
Read More
Form, content and amendment of bills of exchange and promissory notes, including electronic equivalents, under the Bills of Exchange Act 1882 and the Electronic Trade Documents Act 2023
Published by a
LexisNexis Banking & Finance expert
Practice notes
A Bill of exchange is a financial instrument used to move funds from one party to another without transferring the physical Money. A Promissory note is commonly employed in comparable trade finance contexts, but the key distinction is that a bill of exchange constitutes an order to pay (typically the drawer instructing the drawee to pay the payee), whereas a promissory note embodies a promise to pay (the maker promising payment to the payee). Bills of exchange and promissory notes are regulated by the Bills of Exchange Act 1882 (BEA 1882). This Practice Note examines the form these instruments must take under the BEA 1882 and otherwise. Historically, bills of exchange and promissory notes existed only as paper documents. Since the Electronic Trade Documents Act 2023 (ETDA 2023) took effect, however, electronic bills of exchange and promissory notes issued on or after 20 September 2023 that satisfy the ETDA 2023 provisions receive the same legal treatment as their paper versions. Accordingly, compliant electronic bills and notes issued from 20 September 2023 onward enjoy parity with paper instruments under the ETDA 2023 framework expressly specified above. For further details, see Practice Note: Electronic Trade Documents Act 2023 and its impact on...
To view the latest version of this document and thousands of others like it, sign-in with LexisNexis or register for a free trial.
Web page updated on 21/05/2026
Popular documents
When evaluating a general damages claim, the practitioner ought initially to refer to the Judicial College Guidelines (JCG)...
This Practice Note This Practice Note reviews mechanisms used in settling litigation. A Tomlin order consists of a consent order paired with a schedule. It operates to stay proceedings on terms that have been agreed. The provisions contained in the schedule may remain confidential. This Practice Note describes the scope of confidentiality attaching to the schedule and sets out how it differs from a standard consent order. Sample wording for a Tomlin order is included, alongside links to precedents, as well as guidance on court approval. It also addresses varying, setting aside and enforcing a Tomlin order, including the considerations the court will take into account when handling applications for each. Further guidance is provided on interpreting and applying the relevant provisions of the CPR; however, some courts and divisions impose very specific requirements for both drafting and approval, and for approaching the schedule and confidentiality issues. Accordingly, you must consider the particular rules and court guide provisions in the forum where your claim is proceeding when drawing up the Tomlin order...
Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...
I, [ name ], of [ address ], solemnly and sincerely state that: [ Matters to be verified, set out in numbered paragraphs ] I make this solemn statement in good conscience, believing it to be true, and pursuant to the provisions of the Statutory Declarations Act 1835. DECLARED at [ details ] this [ day ] day of [ month and year ] Before me ................................................................................ [ signature of the person before whom the declaration is made ] A [ commissioner for oaths OR [ solicitor OR [ insert other qualification ] ] authorised to administer oaths ]...
Discover more from LexisNexis
