480
Payment in due course.
Banker paying demand draft whereon indorsement is forged.
Acceptor the holder at maturity.
Express waiver.
Cancellation.
No. 3.] THE ORDINANCES OF HONGKONG : [A.D. 1885.
to his immediate transferee, being a holder for value, that the bill is what it purports to be, that he has a right to transfer it, and that, at the time of transfer, he is not aware of any fact which renders it valueless.
Discharge of Bill.
means
59. (1.) A bill is discharged by payment in due course by or on behalf of the drawee or acceptor, Payment in due course payment made at or after the maturity of the bill to the holder thereof in good faith and without notice that his title to the bill is defective.
(2.) Subject to the provisions hereinafter contained, when a bill is paid by the drawer or an indorser it is not discharged; but-----
(a.) where a bill payable to, or to the order of, a third party is paid by the drawer, the drawer may enforce payment thereof against the acceptor, but may not re-issue the bill;
(b.) where a bill is paid by an indorser, or where a bill payable to drawer's order is paid by the drawer, the party paying it is remitted to his former rights as regards the acceptor or antecedent parties, and he may, if he thinks fit, strike out his own and subsequent indorsements, and again negotiate the bill.
(3.) Where an accommodation bill is paid in due course by the party accommodated, the bill is discharged.
60. When a bill payable to order on demand is drawn on a banker, and the banker on whom it is drawn pays the bill in good faith and in the ordinary course of business, it is not incumbent on the banker to show that the indorsement of the payee or any subsequent indorsement was made by or under the authority of the person whose indorsement it purports to be, and the banker is deemed to have paid the bill in due course, although such indorsement has been forged or made without authority.
61. When the acceptor of a bill is or becomes the holder of it at or after its maturity, in his own right, the bill is discharged.
62.--(1.) When the holder of a bill at or after its maturity absolutely and unconditionally renounces his rights against the acceptor, the bill is discharged. The renunciation must be in writing, unless the bill is delivered up to the acceptor.
(2.) The liabilities of any party to a bill may in like manner be renounced by the holder before, at, or after its maturity; but nothing in this section shall affect the rights of a holder in due course without notice of the renunciation.
63.-(1.) Where a bill is intentionally cancelled by the holder or his agent, and the cancellation is apparent thereon, the bill is discharged.
A.D. 1885
(2.) In like manner the intentional cancellation of any party's signature discharges the party whose signature is cancelled.
(3.) A cancellation made without the authority of the holder or person claiming under his signature is inoperative; the burden of proof as to the intentional or unauthorized nature of the cancellation lies on the party alleging it.
64.--(1.) Where a bill or any signature thereon appears to be altered with the assent of all parties liable thereon, and alteration has been materially adverse to any such party, the bill is valid according to its original tenor; if the alteration is not apparent, and the bill is in the hands of a holder in due course, such holder may avail himself of the bill according to its original tenor.
(2.) The provisions of this section do not apply to alterations of a date, sum payable, time or place of payment, or acceptance not assented to by all parties.
65.--(1.) Where a bill has been protested for non-acceptance or non-payment, the holder may, with the consent of the person who has honoured the bill by payment for honour, transfer the bill to that person, and such transferee is entitled to all the rights of the holder as regards the party honoured and all parties liable to that party.
(2.) A bill so transferred is said to be negotiated, and the transferee is entitled to the rights of the holder.
(839) An acceptor for honour must----
(a.) be expressed to be for the honour of some particular person;
(b.) be signed by the acceptor for honour;
(4.) Where a bill is dishonoured by non-acceptance and is not noted or protested for non-acceptance, the holder may, at his option, treat the bill as dishonoured by non-payment.
(5.) Where a bill is dishonoured by non-payment and its maturity is expressed in terms of a future date, the holder may, at his option, treat the bill as dishonoured on the date of maturity and not from the date when it was actually dishonoured.
480
Payment in due course.
Banker pay- ing demand draft whereon indorsement is forged.
Acceptor the holder at maturity.
Express waiver.
Cancellation.
No. 3.] THE ORDINANCES OF HONGKONG : [A.D. 1885.
to his immediate transferee, being a holder for value, that the bill is what it purports to be, that he has a right to transfer it, and that, at the time of transfer, he is not aware of any fact which renders it valueless.
Discharge of Bill.
means
59. (1.) A bill is discharged by payment in due course by or on behalf of the drawee or acceptor, Payment in due course payment made at or after the maturity of the bill to the holder thereof in good faith and without notice that his title to the bill is defective.
(2.) Subject to the provisions hereinafter contained, when a bill is paid by the drawer or an indorser it is not discharged; but-----
(a.) where a bill payable to, or to the order of, a third party is paid by the drawer, the drawer may enforce payment thereof against the acceptor, but may not re-issue the bill;
(b.) where a bill is paid by an indorser, or where a bill payable ro drawer's order is paid by the drawer, the party paying it is remitted to his former rights as regards the acceptor or ante- cedent parties, and he may, if he thinks fit, strike out his own and subsequent indorsements, and again negotiate the bill. (3.) Where an accommodation bill is paid in due course by the party accommodated, the bill is discharged.
60. When a bill payable to order on demand is drawn on a banker, and the banker on whom it is drawn pays the bill in good faith and in the ordinary course of business, it is not incumbent on the banker to show that the indorsement of the payee or any subsequent indorsement was made by or under the authority of the person whose indorsement it purports to be, and the banker is deemed to have paid the bill in due course, although such indorsement has been forged or made without authority.
61. When the acceptor of a bill is or becomes the holder of it at or after its maturity, in his own right, the bill is discharged.
62.--(1.) When the holder of a bill at or after its maturity abso- lutely and unconditionally renonces his rights against the acceptor, the bill is discharged. The renunciation must be in writing, unless the bill is delivered up to the acceptor.
(2.) The liabilities of any party to a bill may in like manner be renounced by the holder before, at, or after its maturity; but nothing in this section shall affect the rights of a holder in due course without notice of the renunciation.
63.-1.) Where a bill is intentionally cancelled by the holder or his agent, and the cancellation is apparent thereon, the bill is discharged.
A.D. 1885
(2.) In li the intentio: In such case the party w (3.) A ca out the auth signature th lies on the tionally, or
64.--(1.)
the assent of against a pa alteration, a been materi: is in the han of the bill ar according to (2.) Th alteration of of payment, of a place
65.--(1.)
acceptance
person, not 1 of the holder of any party account the i (2.) A bil which it is d (839) An a
must-
(a.) be
hono
(b.) he (4.) Wher
whose honoir our of the dr (5.) Wher maturity is e and not from
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