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Presentment of cheque for payment.
Revocation of banker's authority.
Definition of general and special crossings.
Crossing by drawer or after issue.
No. 3 of 1885.
BILLS OF EXCHANGE.
74. Subject to the provisions of this Ordinance,
(1) where a cheque is not presented for payment within a reasonable time of its issue, and the drawer or the person on whose account it is drawn had the right, at the time of such presentment, as between him and the banker, to have the cheque paid and suffers actual damage through the delay, he is discharged to the extent of such damage, that is to say, to the extent to which such drawer or person is a creditor of such banker to a larger amount than he would have been had such cheque been paid;
(2) in determining what is a reasonable time, regard shall be had to the nature of the instrument, the usage of trade and of bankers, and the facts of the particular case;
(3) the holder of such cheque as to which such drawer or person is discharged shall be a creditor, in lieu of such drawer or person, of such banker to the extent of such discharge and entitled to recover the amount from him.
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75. The duty and authority of a banker to pay a cheque drawn on him by his customer are determined by-
(1) countermand of payment;
(2) notice of the customer's death.
Crossed cheques.
76. (1) Where a cheque bears across its face an addition of
15.
(a) the words "and company" or any abbreviation thereof, between two parallel transverse lines, either with or without the words "not negotiable"; or
(b) two parallel transverse lines simply, either with or without the words "not negotiable",
that addition constitutes a crossing, and the cheque is crossed generally.
(2) Where a cheque bears across its face an addition of the name of a banker, either with or without the words "not negotiable", that addition constitutes a crossing, and the cheque is crossed specially and to that banker.
77.—(1) A cheque may be crossed generally or specially by the drawer.