CAP. 19]
Protection to
Bills of Exchange.
80. Where the banker on whom a crossed cheque is drawn, in good faith and without negligence, pays it, if
banker and
cheque is crossed.
Effect of crossing on holder.
Protection to collecting banker.
Account may be credited, before
payment of cheque.
6 Edw. 7, c. 17, s. 1.
Drafts on bankers
payable to order on
demand sufficient
authority for
payment without proof of indorsement. 16 & 17 Vict.
c. 59. s. 19.
Extension of sections 76 to 82 to certain other documents.
46 & 47 Vict. c. 55, s. 17.
crossed generally, to a banker, and, if crossed specially, to the banker to whom it is crossed or his agent for collection being a banker, the banker paying the cheque, and, if the cheque has come into the hands of the payee, the drawer, shall respectively be entitled to the same rights and be placed in the same position as if payment of the cheque had been made to the true owner thereof.
81. Where a person takes a crossed cheque which bears on it the words "not negotiable", he shall not have, and shall not be capable of giving, a better title to the cheque than that which the person from whom he took it had.
82. (1) Where a banker, in good faith and without negligence, receives payment for a customer of a cheque crossed generally or specially to himself, and the customer has no title or a defective title thereto, the banker shall not incur any liability to the true owner of the cheque by reason only of having received such payment.
(2) A banker receives payment of a crossed cheque for a customer within the meaning of this section notwithstanding that he credits his customer's account with the amount of the cheque before receiving payment.
83. Any draft or order drawn upon a banker for a sum of money payable to order on demand which shall, when presented for payment, purport to be indorsed by the person to whom the same shall be drawn payable, shall be a sufficient authority to such banker to pay the amount of such draft or order to the bearer thereof: and it shall not be incumbent on such banker to prove that such indorsement or any subsequent indorsement was made by or under the direction or authority of the person to whom the said draft or order was or is made payable either by the drawer or any indorser thereof.
[82A
84. Sections 76 to 82, both inclusive, shall extend to any document issued by a customer of any banker, and intended to enable any person or body corporate to obtain payment from such banker of the sum mentioned in such
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