System and method for settling trades in a digital merchant exchange

Abstract

A system and method for settling trades in a digital merchant exchange includes a buyer, a seller, a transaction agent, a network and a capital pool. The buyer and seller communicate through the network to agree on a contract. When the goods are received or the services are performed, the buyer issues a negotiable instrument that is received by the transaction agent. The transaction agent communicates with the buyer, seller, and capital pool through the network and facilitates the settlement of the trade. The system may call upon the capital pool to provide liquidity so that the system can issue payment to the seller at a time prior to the maturity date of the negotiable instrument.

1 - 75 . (canceled) 
   
   
       76 . An apparatus for distributing payment to a seller providing value for a contract, said apparatus comprising:
 a negotiable instrument;   a notification indicating that the value has been received from the seller;   a verification module configured to verify that said negotiable instrument and said notification are responsive to the value provided by the seller;   a certification module configured to present said verified negotiable instrument to the seller prior to the maturity date of said negotiable instrument; and   an order to pay the value of said certified negotiable instrument on the maturity date.   
   
   
       77 . The apparatus as defined in  claim 76  wherein said negotiable instrument is a promissory note. 
   
   
       78 . The apparatus as defined in  claim 77  wherein said promissory note is certified to be responsive to receipt of the value. 
   
   
       79 . The apparatus as defined in  claim 78  wherein said certified promissory note is electronically certified. 
   
   
       80 . The apparatus as defined in  claim 79  wherein said electronically certified promissory note is digitally certified. 
   
   
       81 . The apparatus as defined in  claim 76  further comprising a network, wherein said certification module is configured to present said verified negotiable instrument to the seller through said network. 
   
   
       82 . The apparatus as defined in  claim 81 , wherein said network is the Internet. 
   
   
       83 . The apparatus as defined in  claim 76  wherein said order to pay is a bank draft. 
   
   
       84 . A method of distributing payment to a seller providing value for a contract, said method comprising the steps of:
 generating a negotiable instrument;   generating a notification to the seller that indicates the value has been received;   that said negotiable instrument is responsive to the receipt of the value;   presenting said verified negotiable instrument and said notification to the seller prior to the maturity date of said verified negotiable instrument; and   generating an order to pay the seller the value of said verified negotiable instrument.   
   
   
       85 . The method as defined in  claim 84  wherein said negotiable instrument is a promissory note. 
   
   
       86 . The method as defined in  claim 85  further comprising the step of certifying that said promissory note is responsive to the receipt of the value. 
   
   
       87 . The method as defined in  claim 86  wherein said certified promissory note is electronically certified. 
   
   
       88 . The method as defined in  claim 87  wherein said electronically certified promissory note is digitally certified. 
   
   
       89 . The method as defined in  claim 84  wherein said verified negotiable instrument is presented to the seller through a network. 
   
   
       90 . The method as defined in  claim 89  wherein said network is the Internet. 
   
   
       91 . The method as defined in  claim 84  wherein said order to pay is a bank draft.