The language and intent of a document, along with the acknowledgment of indebtedness in a defined sum of money payable 'on demand', are crucial in determining its classification as a promissory note.

( 1 ) THIS revision petition is directed against the order dated 18-2-1992 in o. s. No. 572/1987 wherein the trial court has held that the suit document that is sought to be produced by the plaintiff as documentary evidence as being admissible as a promissory note. Defendants have raised an objection as to the admissibility of the document in question on the ground that the document as being insufficiently stamped in view of the specific recital in the document namely 'being value received'.

( 2 ) THE contention is that stamp of the value of twenty-five paise has to be affixed for a receipt and requisite stamp of the value of twenty paise has to be affixed on the document in question as the value is Rs. 8,000/ -. It is to be seen that stamp of the value, of 40 paise has been affixed on the suit document, as such, it is contended that the document is insufficiently stamped by five paise since the document sought to be produced partakes the character of promissory note and a consideration receipt and if that be the case the document cannot be either be relied upon by the plaintiff nor the same be admitted as evidence.

( 3 ) THE document which is under consideration reads :"on demand i/we jointly and severally promise to pay Sri T. P. Sathyanarayana, No. 85, c. t. street, Bangalore-2, or order at Bangalore the sum of Rs. 8,000-00 (rupees eight thousand only) together with interest at 20% (twenty per cent) per annum being value received by us this day in cash - dated - for the purpose of our business. Dated at Bangalore, this day first of february, one thousand nine hundred and eighty-four. Sd/- 20 ps. Stamp for vishnu auto finances (r), 20 ps. Stamp partners. " for purposes of appreciating the contentions advanced by the petitioner, it would be relevant to refer to some of the Provisions of the Stamp Act : Section 72 (1) of the Karnataka Stamp Act, 1957 reads :"the Indian Stamp Act, 1899 (Central Act ii of 1899) as in force in the Madras area, shall, notwithstanding anything contained in any law, extend to the whole of the state of karnataka, and shall remain in force insofar as such act relates to the matter specified in entry 14 of list iii of the seventh schedule to the Constitution in respect of documents specified in entry 91 of list I of the said schedule. "section 2 (22) of the Indian Stamp Act, 1899 reads:" "promissory note" means a promissory note as defined by the Negotiable Instruments Act, 1881 (26 of 1881) ; it also includes a note promising the payment of any sum of money out of any particular fund which may or may not be available, or upon any condition or contingency which may or may not be performed or happen ;"section 35 of the Indian Stamp Act, 1899 reads:"instruments not duly stamped inadmissible in evidence, etc. No instrument chargeable with duty shall be admitted in evidence for any purpose by any person having by law or consent of parties authority to receive evidence, or shall be acted upon, registered or authenticated by any such person or by any public officer, unless such instrument is duly stamped : provided that (a) any such instrument not being an instrument chargeable with a duty not exceeding ten naya paise only, or a bill of exchange or promissory note, shall, subject to all just exceptions, be admitted in evidence on payment of the duty with which the same is chargeable or, in the case of an instrument insufficiently stamped, of the amount required to make up such duty, together with a penalty of five rupees, or, when ten times the amount of the proper duty or deficient portion thereof exceeds five rupees, a sum equal to ten times such duty or portion;xx xx xx.

( 4 ) THE short question for consideration is whether the subject-matter of the suit document is a promissory note payable on demand or otherwise than demand. If it is payable on demand, the stamp affixed is sufficient, otherwise if it is construed as on demand coupled with consideration receipt then it is insuffic