Allonge: When is an allonge to be used?

Allonge is a French word which means lengthening.  When a piece of paper which has been firmly attached to a negotiable instrument for further endorsements, such piece of paper attached thereto is called allonge.  However, a blank slip of paper attached to a negotiable instrument cannot be called allonge unless an endorsement is written on it and signed.

 As per negotiable act 1881, any endorsement to a contract, a cheque or a promissory note must be written on the bill itself or any paper annexed to the bill (allonge) to form part of the bill and be signed by the endorser. Thus the endorsement written on allonge is deemed to be written on the instrument itself. 

When is an allonge to be used?

The law does not restrict the number of endorsements on a cheque or a promissory note or a bill of exchange. There may an event, no space is available in the instrument itself for further endorsement; the endorser can then attach a slip of paper (allonge) and make use of the same for further endorsement. An allonge forms the part of the document when the original instrument does not have sufficient space for the inserted material.

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Surendra Naik

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Surendra Naik

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