1901_BILLS_OF_EXCHANGE_ORDINANCE__1885 — Page 23

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Liability of acceptor for honour.

Presentment to acceptor for honour.

Payment for honour suprà protest.

No. 3.]

THE ORDINANCES OF HONGKONG : [A.D. 1885.

66.—(1.) The acceptor for honour of a bill, by accepting it, engages that he will, on due presentment, pay the bill according to the tenor of his acceptance, if it is not paid by the drawee, provided it has been duly presented for payment and protested for non-payment, and that he receives notice of these facts.

(2.) The acceptor for honour is liable to the holder and to all parties to the bill subsequent to the party for whose honour he has accepted.

67.-(1.) Where a dishonoured bill has been accepted for honour suprà protest or contains a reference in case of need, it must be protested for non-payment before it is presented for payment to the acceptor for honour or referee in case of need.

(2.) Where the address of the acceptor for honour is in the same place where the bill is protested for non-payment, the bill must be presented to him not later than the day following its maturity; and where the address of the acceptor for honour is in some place other than the place where the bill was protested for non-payment, the bill must be forwarded not later than the day following its maturity for presentment to him.

(3.) Delay in presentment or non-presentment is excused by any circumstance which would excuse delay in presentment for payment or non-presentment for payment.

(4.) When a bill is dishonoured by the acceptor for honour, it must be protested for non-payment by him.

68.-(1.) Where a bill has been protested for non-payment, any person may intervene and pay it suprà protest, for the honour of any party liable thereon or for the honour of the person for whose account the bill is drawn.

(2.) Where two or more persons offer to pay a bill for the honour of different parties, the person whose payment will discharge most parties to the bill shall have the preference.

(3.) Payment for honour suprà protest, in order to operate as such and not as a mere voluntary payment, must be attested by a notarial act of honour which may be appended to the protest or form an extension of it.

(4.) The notarial act of honour must be founded on a declaration made by the payer for honour, or his agent in that behalf, declaring his intention to pay the bill for honour and for whose honour he pays.

(5.) Where a bill has been paid for honour, all parties subsequent to the party for whose honour it is paid are discharged, but the payer for honour is subrogated for, and succeeds to both the rights and duties of, the holder as regards the party for whose honour he pays and all parties liable to that party.

A.D. 1885

(6.) The bill and the protest, if any, shall be delivered to the payer for honour, who is entitled to receive back from the holder the bill and protest, if any, and to recover from the party for whose honour he pays all sums so paid by him, together with interest thereon and any expenses properly incurred by him in making such payment.

(7.) Where a bill has been paid for honour suprà protest, he who has paid it may recover from the party for whose honour he has paid the amount paid by him, together with interest and expenses.

69. (1.) Where a bill has been protested for non-payment, any person who was liable on the bill at the time of such protest, and who has paid the bill or any part of it, may recover from any party liable to him the amount paid by him, with interest and expenses.

(2.) If the person who has paid the bill is entitled to recover a larger amount from the party liable to him under a separate agreement or otherwise, he may recover such larger amount.

70. In an action on a bill, the court may order an indemnity to be given to the defendant against any claim that may be made against him by any other party to the bill.

71. (1.) Where a bill is drawn in a set of parts, and more than one part is negotiated to different persons, the holder of the part which is first presented to the drawee for payment is entitled to recover from the drawee the amount paid by him.

(2.) Where the drawee pays a part of the bill without requiring the part to be delivered to him, and such part is afterwards presented to him for payment, he is not liable to pay it again.

(3.) Where the holder of a part of the bill pays the amount due on such part to the holder, he is entitled to recover from the party liable to him the amount paid by him.

(4.) The acceptance may be written on any part of the bill, and such acceptance shall be deemed to be an acceptance of the whole bill.

(5.) Where the holder of a part of the bill requires the drawee to accept that part, and the drawee refuses to accept it, he is entitled to have the bill protested for non-acceptance.