CO129-376 - Governor Sir Lugard - 1911 [3-4] — Page 540

COPY.

O

527

10520

Pra 20 MAY 11

Section 18 of the Bills of Exchange Act in

England runs as follows:-

18. A bill may be accepted:-

(1). before it has been signed by the drawer, or while otherwise incomplete;

(2). when it is overdue, or after it has been dishonour

-ed by a previous refusal to accept, or by non-payment;

(3). when a bill payable after sight is dishonoured by non-acceptance, and the drawee subsequently accepts it, the holder in the absence of any different agreement, is entitled to

ment have the bill accepted as of the date of first presentation to

the drawee for acceptance.

Subsection (3) is meaningless as it stands, and is not even grammar. The Section should read thus:-

18). A bill may be accepted:-

before it has been signed by the drawer, or while

otherwise incomplete;

(2)when it is overdue, or after it has been dis- -honoured by a previous refusal to accept, or by non-payment; (2). When a bill payable after sight is honoured by non-acceptance, and the drawee subsequently accepts it, the holder, in the absence of any different agreement, is entitled to have the bill accepted as of the date of the first presentment

to the drawee for acceptance.

Chalmers in his book on the Act says that

the last clause was inserted in Committee; it seems to have put in as a third paragraph instead of a second sub-section, and Inobody has been at pains to put it straight.

24th. April, 1911.

(Sd.) F. T. Piggott.

Page 540Page 541