what is an order paper 
an order paper or order instrument is a negotiable instrument that is payable to a specified person or its assignee an instrument such as an order paper is negotiable only if it is payable to the order of a specified person meaning that it must designate an individual s name to be paid out it is the opposite of a bearer instrument which does not require the designation of an individual to be paid out understanding an order paperan order paper is one that says pay to the order of whereas a bearer instrument says pay to the bearer of when an instrument states pay to the order of it s naming a specific designee who can collect payment on that instrument bearer instruments on the other hand do not name a specific payee anyone who bears the instrument can collect payment on it an order instrument must identify a named payee on the payee line a bearer instrument on the other hand does not include the name of the payee on the instrument and will typically not have a payee line a common example of an order paper is a personal check when a person writes a personal check they name a specific payee on the payee line which is preceded by the phrase pay to the order of only the payee named on this line is entitled to receive payment in the monetary amount specified on the check other order instruments include registered bonds bills of exchange a kind of check without interest and promissory notes a written promise to pay by contrast a 20 bill would be an example of a bearer instrument a 20 bill has no payee line and names no payee anyone who possesses bears the 20 bill can use it to obtain 20 worth of goods or services 