A type of negotiable instrument, also known as a "draft", which is a signed, unconditional, written order by the drawer, directing the drawee to pay a fixed sum of money to a third party (the payee) at a determined future date.
For example, a check is a type of bill of exchange.
Definition from Nolo’s Plain-English Law Dictionary
An unconditional written order from one person (the maker or drawer) to another person (the payor) to pay a specified sum of money to a designated person (the payee). It is the same as a draft. A bill of exchange drawn on a bank account is a "check."
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:11 pm