The Study On The Negotiable Instruments Defense Limit System

The negotiable instruments defense limit system imposes properly restrictions on possible justifications from the debtor so as to protect the interests of creditors, and it will be used when debtors and creditors are in a conflict of interest. In order to promote the circulation of negotiable instruments better, the negotiable instruments defense limit system has been produced under the conflict and coordination of the protection of transaction security and the maintain fair value. We have a deep and thorough research on negotiable instruments defense, but only a minority of scholars are devoted to the research to negotiable instruments defense limit. In the paper, I study the research to negotiable instruments defense limit from the basic theory and legislation, and it is divided into three parts:The first part presents the basic theory of the negotiable instruments limit system. The first section introduces the concept of negotiable instruments limit and the characteristics from the compared of the negotiable instruments defense with civil defense. The second section discusses the value of the negotiable instruments defense limit system, which is available to guarantee the transaction security and to reduce the cost and disputes. The third section explores the legal theory of the negotiable instruments defense limit system, and introduces four traditional theories. Besides, this section focuses on the appearance of rights theory to explain the legal theory of the negotiable instruments defense limit system.The second part mainly elaborates the range of application of the negotiable instruments defense limit system. The range of application is based on classification of the negotiable instruments defense. The first section introduces the traditional dichotomy:the defense to people and the defense to object, and evaluate the classification as well. In addition, this section introduces and analyzes the trichotomy which is developed from the traditional dichotomy. The defense which can not be included in the defense to man or the defense to material is effective defense. The second sector is based on the appearance rights theory, and the negotiable instruments defense is divided into the defense according to written records of exterior appearance and the defense not according to written records of exterior appearance. Each point is evaluated. In the process of introducing of the negotiable instruments defense, the corresponding is he negotiable instruments defense limit analyzed.The third part introduces the negotiable instruments defense limit system from the perspective of national legislation. In spite of all countries agree with the negotiable instruments defense limit system in the world, but it is still slightly different at the legislative level. The first section introduces the positive restriction represented by the common law instrument system and the negative restriction represented by negotiable instrument law system in Geneva, and the two legislative model are analyzed. The second sector elaborates the provision of negotiable instruments defense limit system and the existing problems in our country. Firstly, it introduces the provision of negotiable instruments defense limit system and puts forward the problems. Secondly, by comparing the verdict result of the negotiable instrument dispute case from the grass people’s court and the intermediate people’s court, the method to negotiable instruments defense limit in practice is analyzed. Thirdly, it is the improvement opinions aiming at the problem of the legislation to negotiable instruments defense limit system.The negotiable instruments defense limit system is integral and the most distinctive part of negotiable instruments theory and practice. Only to grasp the basic theory of the negotiable instruments defense limit system deeply, the negotiable instrument can be understood better and the interests of the parties can be balanced better. The explore to the legislation of negotiable instruments defense limit system and the analysis to the practice case get important theoretical and practical significance to perfect the instruments law and to promote economic development especially the foreign trade in our country.