1964 Ed.]
Bills of Exchange.
[CAP. 19
33
79. (1) Where a cheque is crossed specially to more than one banker, except when crossed to an agent for collection being a banker, the banker on whom it is drawn shall refuse payment thereof.
(2) Where the banker on whom a cheque is drawn which is so crossed nevertheless pays the same, or pays a cheque crossed generally otherwise than to a banker, or, if crossed specially, otherwise than to the banker to whom it is crossed or his agent for collection being a banker, he is liable to the true owner of the cheque for any loss he may sustain owing to the cheque having been so paid:
Provided that where a cheque is presented for payment which does not, at the time of presentment, appear to be crossed, or to have had a crossing which has been obliterated, or to have been added to or altered otherwise than as authorized by this Ordinance, the banker paying the cheque, in good faith and without negligence, shall not be responsible or incur any liability, nor shall the payment be questioned by reason of the cheque having been crossed, or of the crossing having been obliterated or having been added to or altered otherwise than as authorized by this Ordinance, and of payment having been made otherwise than to a banker, or to the banker to whom the cheque is or was crossed, or to his agent for collection being a banker, as the case may be.
80. Where the banker on whom a crossed cheque is drawn, in good faith and without negligence, pays it, if 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. 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.
(Added, 7 of 1907, s. 3)
Duties of banker as to crossed cheque.
43 & 46 Vict. c. 61, s. 79.
Protection to banker and drawer where cheque is crossed.
45 & 46 Vict. c. 61, s. 80.
Effect of crossing on holder.
45 & 46 Vict. c. 61, s. 81.
Drafts on bankers payable to order on demand sufficient authority for payment without proof of indorsement.
16 & 17 Vict. c. 59, s. 19.
1964 Ed.]
Bills of Exchange.
[CAP. 19
33
79. (1), Where a cheque is crossed specially to more than one banker, except when crossed to an agent for collection being a banker, the banker on whom it is drawn shall refuse payment thereof.
(2) Where the banker on whom a cheque is drawn which is so crossed nevertheless pays the same, or pays a cheque crossed generally otherwise than to a banker, or, if crossed specially, otherwise than to the banker to whom it is crossed or his agent for collection being a banker, he is liable to the true owner of the cheque for any loss he may sustain owing to the cheque having been so paid:
Provided that where a cheque is presented for payment which does not, at the time of presentment, appear to be crossed, or to have had a crossing which has been obliterated, or to have been added to or altered otherwise than as authorized by this Ordin- ance, the banker paying the cheque, in good faith and without negligence, shall not be responsible or incur any liability, nor shall the payment be questioned by reason of the cheque having been crossed, or of the crossing having been obliterated or having been added to or altered otherwise than as authorized by this Ordin- ance, and of payment having been made otherwise than to a banker, or to the banker to whom the cheque is or was crossed, or to his agent for collection being a banker, as the case may be.
80. Where the banker on whom a crossed cheque is drawn, in good faith and without negligence, pays it, if 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. 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.
(Added, 7 of 1907, s. 3)
Duties of banker as to crossed cheque.
43 & 46 Vict. c. 61, s. 79.
Protection to banker and drawer where cheque is crossed.
45 & 46 Vict. c. 61, s. 80.
Effect of crossing on holder.
45 & 46 Vict. c. 61, s. 81.
Drafts on bankers payable to order on demand sufficient authority for payment without proof of indorsement.
16 & 17 Vict. c. 59, s. 19.
No comments yet.
Private notes are available after approval.