Causelessness means that the bill must be paid unconditionally, so it is also called “security without cause, unconditional security”. Whether the bill is valid is not affected by the bill cause. As long as it meets the statutory requirements, the payee must pay the money unconditionally on the due date of the bill. The bill cause refers to the reason for the issuance or transfer. As long as the bill is qualified, the holder can obtain the rights stated in the text of the bill. Unless the holder obtains the bill with bad faith or fraud, the drawer cannot use the defenses that exist between himself and the holder’s predecessor to oppose the holder.
International practice and the bill laws of most countries distinguish causes from bill rights and obligations, and recognize that bills only need “form” but not “cause”. The rights and obligations of the parties or related persons are entirely based on the statutory text of the bill. For example, A owes B 1,000 yuan and issues a note with B as the creditor, asking B to go to C with the note to collect the money. However, B originally owed C 200 yuan and had not repaid it. At this time, according to the principles of civil law, whether B goes to C to collect the money himself, or B transfers the 1,000 yuan debt to D and then D goes to C to collect the money, C can use this note to offset the 200 yuan owed to B and only pay 800 yuan (if D goes to collect the money, C can take the method of transferring its 200 yuan debt to B to D to offset it, regardless of whether D knows in advance that C has a defect in rights).
However, if A issues a bill to B here instead of an ordinary note, the situation is different. According to the principles of bill law, as long as the bill assignee D is a legitimate holder, C must pay D in full, and cannot use B’s defect in rights to oppose D’s bill rights. This ensures that the bill assignee does not have to spend energy to understand in advance whether the assignor has a defect in rights and can safely accept the bill, thereby making the bill widely accepted.