Overdue Instrument Law and Legal Definition
Overdue instrument refers to an instrument being unpaid when due.
An instrument payable on demand becomes overdue, on the day after the day on which the demand for payment is duly made. In case of check it is ninety days after its date. When the instrument is not a check, and the instrument has been outstanding for a period of time, the instrument becomes overdue after its date which is unreasonably long under the circumstances of the particular case in light of the nature of the instrument and usage of the trade.
