Negociability
Negociability ( Latin negotium " business "; "suitable for commercial transactions") is the negotiability , negotiability and circulation ability in foreign trade , especially in the case of commercial papers, the transferability through endorsement .
Negotiation denotes the possibility of submitting order papers and other commercial instructions , bills of exchange and traditional papers to any credit institution . In a narrower sense, it means the loaning of these documents or, in the case of the letter of credit, the granting of a loan (see negotiation loan ). According to the legal definition of ERA 600 , the negotiation is the "purchase of bill of exchange drafts (drawn on the bank other than the named bank) and / or of documents from a compliant document template by the named bank with advance payment or assumption of an obligation to advance payment of funds to the beneficiary before or on the bank working day on which the remuneration to the named bank is due ”(Art. 2 UCP 600).
