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the banker pays it otherwise than in accordance with its tenor, he is in such a case liable to the true owner for any loss the latter may sustain thereby (h); and (3.) That when a person takes a crossed cheque with the words “ not negotiable," he shall not have (and not be capable of giving) a better title to the cheque than that which the person from whom he took it had.
When the time arrives at which a bill becomes payable, it is said to be due, or at maturity ; but three days of grace are in such case allowed, and the bill is in general due and at maturity on the last of these three days. But no days of grace are allowed on a bill payable “ on demand," or " at sight,” or “on presentation ” ; secus, if payable so many days after demand, or sight, or presentation (i).
At any time before it becomes due,—and even (although not usually) after it becomes due,—the bill is presented to the drawee for his acceptance ; and the drawee will in general accept the bill, although (in certain cases) he may lawfully refuse to accept it,-e.., where he owes nothing to the drawer, who therefore has no pretence of any title to draw upon him. And an acceptance, as to the manner of it, must be in writing on the bill itself, it being provided by sect. 17 of the Act of 1882 that no acceptance of any bill of exchange, whether inland or foreign, shall be sufficient to bind or charge any person, unless the same be in writing on such bill, and signed by the acceptor or by some person duly authorized by him ; but an acceptance will be sufficient if the acceptor merely writes his name across the face of the bill. A bill may be accepted either generally or qualifiedly, that is, as payable at some specified place, or subject to some condition or qualification. An acceptance at a banker's without words expressly stating that the bill is to be paid there only, is a general acceptance. After acceptance, any person, who, as payee, or by transfer (whether before or after acceptance), is the holder of the bill at its maturity, is entitled to immediate payment then of the amount for which it is drawn, upon presenting it to the acceptor for payment. If under such circumstances the money be not then paid, the holder has a right to bring an action against the acceptor for the amount ; or he may have recourse to the drawer, and to every person whose name is on the bill, as indorser, when it came to the holder's hands. For each of these parties is a guarantor for the payment of the bill, and it is on the credit of their names (though also on that of the acceptor, where it wis negotiated after acceptance), that the holder is supposed to have taken the bill. The right of the holder, however, to have recourse to the drawer and indorsers, is subject to these conditions,-first, that he shall (except in certain cases specified in s. 46) have presented the bill to the accepting drawee for payment, on the precise day when it became due ; and, next, that he shall have given reasonable notice of dishonour, that is to say, notice that it has not been paid. The notice, under ordinary circumstances, must, by s. 49 of the Act, be given on the following day; or if the persons to receive it do not reside in the same place as the payee, then by the post of that day. Notice must, by s. 48, be sent to all parties whom it is intended to charge, or at the least to him whose name was last placed on the bill, in order that the latter may advise the party next before him, and so in succession, each party being allowed, in turn, a day for the purpose. By ss. 14 and 92 of the Act if the day of payment of a bill (or the last day of grace, where days of grace are allowed) falls on a Sunday, Christmas Day, Good Friday, or any public fast day or thanksgiving day, the bill is considered to be due and payable on the last preceding “ business day”; but if the day of payment or (as the case may be) the last day of grace, falls on a bank-holiday, the bill is considered to be due and payable on the next succeeding “ business day," as it is also when the last day of grace is a Sunday, and the second day of grace is a bankholiday.
(h) G. W. Railway v. London and County Bank,  A. C.
414 ; Gordon v. L. City and Midland Bank,  1 K. B. 242.
(i) Section 14 of the Act of 1882.
An indorser who is called upon and obliged to pay the bill, may in his turn have recourse to the drawer, or to any indorser prior to himself, provided such party shall have had due notice of dishonour ; and the same right attaches successively to each indorser, in his turn. But the original payee has, of course, no prior party to resort to but the drawer ; and the drawer can resort to no party but the acceptor, on whom rests in general, all the while, the primary liability. For the drawer, or any other party compelled to take up and pay the bill, is always entitled to look for satisfaction to the acceptor.
Presentment for acceptance is sometimes essential (ss. 39—41). The drawee may refuse acceptance of the bill; and the law will imply such refusal on his part, if he does not accept immediately on presentment, or within twenty-four hours after the bill is left with him for acceptance (j). On such refusal, the holder of the bill becomes apprised, of course, that the bill is no bill at all, so far as the drawee is concerned; and he is therefore entitled to charge the other parties, viz. the drawer and prior indorsers (if any), and to charge them instanter, as liable to immediate payment, though the bill has not yet arrived at maturity (k). But to justify any recourse against these parties, notice of the non-acceptance must be given to them, according to the same law and course of proceeding that was before stated with reference to giving notice of dishonour for non-payment; and such of them as are consequently obliged to take up the bill are entitled, as in that case, to their remedy over against all prior parties (l).
The holder may, however, take his chance that the bill may, notwithstanding the refusal to accept, be ultimately paid by the drawee; and may accordingly present it to him for that purpose when it comes to maturity, without thereby waiving his right of recourse against the other parties (m). For generally, it is at the option of the holder, whether he will present the bill for acceptance or not, the object of such presentment being only to ascertain whether the bill is likely to be paid by the acceptor, and to strengthen its credit, if possible, by the additional security of the latter's name; though if a bill be (as it often is) drawn payable at a specified period after sight or after demand, a presentment for acceptance is in that case indispensable, in order to give sight to the drawee, or to make demand upon him, and thereby to fix the time at which the bill is to become due (n).
1) Section 42.
(k) Section 43.
(7) Section 48.
Independently of the notice of non-acceptance or of non-payment, the holder is also entitled to have the bill, of which either acceptance or payment is refused, protested. The protest—which is a formal declaration that the bill has been refused acceptance or payment, and that the holder intends to recover all the expenses to which he may be put in consequence thereof-must be made in writing under a copy of such bill of exchange, by some notary public ; or if no such notary be resident in the place, then by any other substantial inhabitant in the presence of two credible witnesses (0). In the case of a foreign bill, such protest is essential to the right of the holder to recover from the drawer or indorsers; and when made, due notice of dishonour having been also given, the protest will entitle the holder to recover the amount of the bill, with interest, and all expenses, including the re-exchange, occasioned by returning it to the country where it was drawn, together with interest on such reexchange (p). But upon an inland bill, the principal and interest may be recovered from these parties (due notice
(m) Section 48. (n) Section 39.
(0) Section 51.
being given) without a protest, which is indeed a ceremony not usually observed with respect to inland
A bill, of which acceptance has been refused by the drawee, is sometimes “ accepted supra protest,” that is to say, for the honour of the drawer or (as the case may be) for the honour of the indorser ; that is, some friend of the drawer (or indorser) intervenes, to prevent the bill from being sent back upon him as unpaid, by placing his own name upon it as acceptor, after a protest has been drawn up declaratory of its dishonour by the drawee (9). Where an acceptance for honour does not express for whose honour it is made, it is deemed to be an acceptance for the honour of the drawer. An acceptance supra protest, or for honour, operates, not as an absolute engagement to pay, but only as an engagement to pay in the event of the bill being presented, dishonoured and protested upon subsequent presentment for payment to the drawee, when it arrives at maturity, and of its being afterwards duly presented for jayment to the “ acceptor for honour," with due notice of these facts. On these conditions being fulfilled, the latter is then absolutely liable, as if he had accepted in the capacity of drawee, so far as regards the claim of any person whose name stands subsequent to his for whose honour the acceptance was made ; while, on the other hand, such an acceptor, upon being obliged to pay, has a right of recourse against the person for whose honour he accepted, or against any party antecedent to him in the series of names (»). A bill which has been protested for non-payment may be paid by some third person “ for honour supra protest,” the result being similar to the case above mentioned (s).
(2.) PROMISSORY NOTES.-By the Bills of Exchange Act, 1882, s. 83, a note is defined as “an unconditional promise
(9) Section 65.
(8) Section 68.