Bill of Exchange Law

15. Changes in Text of Bill of Exchange/Promissory Note

It is necessary to strictly distinct completing blank instruments accompanied by a bill completion right agreement (even though it was not kept), and changes in the text of paper which should have been issued as a completed one and which is not accompanied by any similar agreement. There can be three variants:

a) Changes of invalid paper into valid one

There is a principle that bill obligations can not arise from an invalid paper. Any such a change of the text (for instance completion of missing requirement) is not relevant. Nevertheless, burden proof lays on an asserting person.

b) Changes of text of valid paper (even after changes, the paper stays formally valid bill)

This kind of changes stipulates Article I, Sec. 69 BECA. It fully respects principle of independence of individual bill statements: If text of the bill was changed, persons signing the bill after such a change are liable according to the text changed; those who signed it before, they are liable according to the original text. Each debtor is thus liable according to the text which he has signed. Change of the text is not effective against those who signed it before.

c) Changes leading to invalidity of the paper

Article I, Sec. 69 BECA stipulates only such a change of the bill text after which the paper stays a valid bill. It does not deal with changes leading to the invalidity of the bill (for instance tearing off any requirement); in this case the bill has to be redeemed.