Leading Lawyers Move

In July 1, 1878 several prominent lawyers in different states, issued a call for a meeting to

organize an American Bar Association.

The Committee of Jurisprudence and Law Reform worked with them to establish and make

recommendations on the existing laws and practices existing in the United States.

One of their order of business was to create a national bankruptcy act and for national

legislation to regulate commercial transaction between citizens of different states.

It was concluded that Congress should enact a statute defining the law relating to bills of

exchange and other commercial paper, so far as the same is involved in interstate (existing or

carried on between states) commerce.

United States Setting

By the adoption of the common law the American states adopted the law of negotiable paper.

And the law has developed therein according to the needs of the commercial world.

After Judge Chalmers' Act was passed in England, the need of a similar codification was felt in

this country. It was really much more needed on account of the arbitrary division of our country

into various legislative jurisdictions.

In 1890 the legislature of New York had authorized the appointment of commissioners to

confer with commissioners from other states in respect to uniformity in legislation.

Shortly afterwards commissioners were appointed by other states and the Commissioners on

Uniformity of Legislation came to be widely representative. These commissioners procured in

1895 the services of Mr. J. J. Crawford to draw up a Code; and the results of his labours were

adopted in 1896 and recommended to the various states for passage. New York was the first

state to act upon such recommendation but the Uniform Negotiable Instruments Law, with

some minor changes in various instances is in force now in the states set out in the note below.

The Negotiable Instruments Act has been adopted in the following states: Alabama, Arizona,

Colorado, Connecticut, District of Columbia, Florida, Hawaii, Idaho, Illinois, Iowa, Kansas,

Kentucky, Louisiana, Maryland, Massachusetts, Michigan, Missouri, Montana, Nebraska,

Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota,

Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, Tennessee, Utah, Virginia, Washington,

West Virginia, Wisconsin, Wyoming.

Philippine Setting Code of Commerce Prior to the passage of Act No. 2031,the law then existing and in force as to negotiable instruments could be found in Book II of the Code of Commerce, from Articles 443 to 556. All these articles, with the exception of those on crossed checks, have been repealed. Act No. 2031 Our Negotiable Instruments Law was enacted as Act No. 2031 on February 3, 1911. It took effect 90 days after its publication on March 4, 1911 in the Official Gazette of the Philippine Islands was completed. (Sec. 198.) The Act, therefore, took effect on June 2, 1911. Since then, our Congress has not seen t to amend any of its provisions. The evident purpose of the Act is to facilitate transactions in commercial paper and to promote free ow of credit. Since then, our Congress has not seen t to amend any of its provisions.