1. A document, dated July 15, 2009, reads: "Pay to X or order the sum of P5,000.00 five days after his pet dog, Sparky dies. Signed Y." is a negotiable instrument. Explain with a legal basis.

2. Lorenzo drew a bill of exchange in the amount of P100,000 payable to Barbara or order, with his wife, Diana, as drawee. At the time the bill was drawn, Diana was unaware that Barbara is Lorenzo's paramour. Barbara then negotiated the bill with her sister, Elena, who paid for it for value, and who did not know who Lorenzo was. On the due date, Elena presented the bill to Diana for payment, but the latter promptly dishonored the instrument because, by then, Diana had already learned of her husband's dalliance. Does the illicit cause or consideration adversely affect the negotiability of the bill? Explain.

3. What is the test to determine whether an instrument is a negotiable instrument or not?