Is there any difference between section 2 (5) Bond and section 2 (22) Promisory Note under the Indian Stamp Ac 1899 or they are same and carry the same meaning?
N.K.Assumi (Advocate) 15 January 2011
Is there any difference between section 2 (5) Bond and section 2 (22) Promisory Note under the Indian Stamp Ac 1899 or they are same and carry the same meaning?
YES. BOND INCLUDES PROMISORY NOTE. BUT PROMISORY NOTE SEPARATELY GOVERNED BY THE NEGOTIABLE INSTRUMENTS ACT. PRONOTE IS AN BILL OF EXCHANGE. BUT BOND IS NOT
STAMP ACT GOVERNS ONLY THE DUTY WHICH IS IMPOSED OR STAMP DUTY FOR THE VALIDITY OF THE INSTRUMENT. AND NOT GOING INTO THE ROOT OF THE INSTRUMENT(SCOPE USAGE ETC).
Deekshitulu.V.S.R (B.Sc, B.L) 07 February 2011
undertaking attested by witnesses is a bond. Promissory note is a promise to pay may be attested or not and payable on demand.
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