Demand Note Classification
Octavia Okonkwo signs a promissory note that contains no maturity date. The holder presents the note for payment at any time. Because the note states no time of payment it qualifies as payable on demand.
Also known as: on-demand · payable on demand · demand note
Written by attorneys · grounded in primary & secondary sources — see below
3 senses
An obligation or right that must be performed or exercised immediately upon request or presentation by the entitled party.
A partner's right to obtain partnership information or records upon request to the managing partner, subject only to a reasonableness limitation.
An obligation or right that must be performed or exercised immediately upon request or presentation by the entitled party.
Select any source to read its text and confirm it supports the definition.
A partner's right to obtain partnership information or records upon request to the managing partner, subject only to a reasonableness limitation.
Select any source to read its text and confirm it supports the definition.
A requirement that a state deliver a fugitive to the demanding state upon formal request by the executive authority of the state from which the person fled.
Select any source to read its text and confirm it supports the definition.
A requirement that a state deliver a fugitive to the demanding state upon formal request by the executive authority of the state from which the person fled.
Each sense below has its own examples, sources, and questions.
Octavia Okonkwo signs a promissory note that contains no maturity date. The holder presents the note for payment at any time. Because the note states no time of payment it qualifies as payable on demand.
Omar Olson issues a note payable on demand to Orchard Farms. The payee presents the note on a business day and demands payment. Olson refuses to pay that day. The note is dishonored and the holder may pursue enforcement remedies.
A demand note is due upon presentment. Suit may be brought without prior demand if the note is already overdue, but presentment is ordinarily required to trigger dishonor and start the statute of limitations running.
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An instrument payable on demand becomes overdue at the earliest of the day after presentment if dishonored, or if no presentment is made, the day after the day of issue or the day after the day it first comes into the possession of a holder.
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A bailee or other possessor who refuses without proper qualification to surrender a chattel on demand by the person entitled to immediate possession is liable for conversion.
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A partner in a general partnership sends a written demand to the managing partner for detailed financial statements and customer lists. The managing partner must supply the requested records unless the demand is unreasonable under the circumstances.
A partner may obtain required records on demand without stating a purpose. For other information the demand must be reasonable and the information must be material to the partner's rights and duties.
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A prosecutor in State A obtains an indictment against a defendant who has fled to State B. The governor of State A issues a formal request to the governor of State B for the defendant's return. State B must deliver the defendant to State A authorities for prosecution.
Yes. The clause requires delivery of a fugitive only upon demand by the executive authority of the state from which the person fled. Mere presence in another state does not trigger the obligation absent a proper demand.
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