In the case of a promissory note which is not negotiable:
Verified Answer
A. Notice of dishonour is compulsory
B. No notice of dishonour is necessary
C. Negotiable Instrument Act is silent on this aspect
D. Indorsement is necessary
Explanation:
If an instrument is 'not negotiable', it means it cannot be transferred free from equities. The strict rules of notice of dishonour, which primarily apply to negotiable instruments to preserve the liability of prior parties, do not apply to non-negotiable instruments.