PREFACE TO THE NINTH EDITION III
PREFACE TO THE FIRST EDITION IV
TABLE OF CASES XI
INTRODUCTION 1-27
SUMMARY 28-39
THE NEGOTIABLE INSTRUMENTS ACT
CHAPTER I : PRELIMINARY
Short title, local extents, saving of usage relating to hundis, etc. 40
(Repealed ) 53
Interpretation clause 54
CHAPTER II : OF NOTES, BILLS AND CHEQUES
''Promissory Notes'' 58
''Bill of Exchange'' 91
''Cheque'' 96
''Drawer'', ''Drawee'', ''Drawee in the case of need'', ''Acceptor'',
''Acceptor for honour'', ''Payee'' 113
''Holder'' 119
''Holder in due course'' 126
''Payment in due course'' 133
''Inland instrument'' 134
''Foreign instrument'' 135
''Negotiable instrument'' 136
Negotiation 149
Indorsement 153
Indorsement ''in blank'' and ''in full'', Indorsee 153
Ambiguous instruments 157
Where amount is stated differently in figures and words 160
Instruments payable on demand 161
Inchoate stamped instruments 162
''At sight'', ''On presentment'', ''After sight'' 168
''Maturity'', Days of grace 170
Calculating maturity of bill or note payable so many months
after date or sight 171
Calculating maturity of bill or note payable so many days
after date or sight 173
When date of maturity is a holiday 173
CHAPTER III : PARTIES TO NOTES, BILLS AND CHEQUES
Capacity to make, etc., promissory notes, etc., Minor 173
Agency 179
Liability of agent signing 192
Liability of legal representative signing 197
Liability of drawer 199
Liability of drawee of cheque 203
Liability of maker of note and acceptor of bill 217
Only drawee can be acceptor except in need or for honour 221
Acceptance by several drawees not partners 224
Liability of Indorser 224
Liability of prior parties to holder in due course 228
Maker, drawer and acceptor principals 229
Prior party a principal in respect of each subsequent party 230
Suretyship 234
Discharge of indorser's liability 237
Acceptor bound although indorsement forged 239
Acceptance of bill drawn in fictitious name 240
Negotiable instrument made etc., without consideration 240
Partial absence or failure of money consideration 250
Partial failure of consideration not consisting of money 251
Holder's right to duplicate of lost bill 253
CHAPTER IV : OF NEGOTIATION
Delivery 254
Negotiation by delivery 260
Negotiation by indorsement 262
Conversion of indorsement in blank into indorsement in full 263
Effect of indorsement 264
Who may negotiate 272
Indorser who excludes his own liability or makes it conditional 275
Holder deriving title from holder in due course 276
Instrument indorsed in blank 277
Conversion of indorsement in blank into indorsement in full 278
Indorsement for part of sum due 278
Legal representative cannot, by delivery only negotiate instrument,
indorsed by deceased 280
Instrument obtained by unlawful means or
for unlawful consideration 280
Instrument acquired after dishonour or when overdue
Accommodation note or bill 286
Instrument negotiable till payment or satisfaction 289
CHAPTER V : OF PRESENTMENT
Presentment for acceptance 290
Presentment of promissory note for sight 293
Drawee's time for deliberation 294
Presentment for payment 294
Hour for presentment 304
Presentment for payment of instrument payable
after date or sight 304
Presentment for payment of promissory note
payable by instalments 305
Presentment for payment of instrument payable at specified place
and not elsewhere 305
Instrument payable at specified place 305
Presentment where no exclusive place specified 306
Presentment when maker, etc., has no known place of business
or residence 307
Presentment of cheque to charge drawer 307
Presentment of cheque to charge any other person 307
Presentment of instrument payable on demand 308
Presentment by or to agent, representative of deceased,
or assignee of insolvent 309
Excuse for delay in presentment for acceptance or payment 309
Presentment of negotiable instrument in riot areas not necessary 310
When presentment unnecessary 310
Liability of banker for negligently dealing with bill presented
for payment 313
CHAPTER VI : OF PAYMENT AND INTEREST
To whom payment should be made 314
Interest when rate specified 322
Interest when no rate specified 325
Delivery of instrument on payment, or indemnity in case of loss 328
CHAPTER VII : OF DISCHARGE LIABILITY ON NOTES, BILLS AND CHEQUES
Discharge from liability-(a) by cancellation; (b) release;
(c) by payment 329 Discharge by allowing drawee
more than forty-eight hours to accept 338
When cheque not duly presented and drawer damaged thereby 339
Cheque payable to order 342
Drafts drawn by one branch of a bank on another payable to order 347
Parties not consenting discharge by qualified
or limited acceptance 348
Effect of material alteration. Alteration by indorsee 350
Acceptor or indorser bound notwithstanding previous alteration 358
Payment of instrument on which alteration is not apparent 358
Extinguishment of rights of action on bill in acceptor's hand 359
CHAPTER VIII : OF NOTICE OF DISHONOUR
Dishonour by non-acceptance 359
Dishonour by non-payment 360
By and to whom notice should be given 361
Mode in which notice may be given 364
Party receiving must transmit notice of dishonour 366
Agent for presentment 366
When party to whom notice given is dead 367
When notice of dishonour is unnecessary 367
CHAPTER IX : OF NOTING AND PROTEST
Noting 369
Protest, Protest for better security 370
Contents of protest 372
Notice of protest 372
Protest for non-payment after dishonour by non-acceptance 373
Protest of foreign bills 373
When noting equivalent to protest 373
CHAPTER X : OF REASONABLE TIME
Reasonable time 373
Reasonable time of giving notice of dishonour 374
Reasonable time for transmitting such notice 375
CHAPTER XI : OF ACCEPTANCE AND PAYMENT FOR HONOUR AND REFERENCE IN CASE OF NEED
Acceptance for honour 375
How acceptance for honour must be made 376
Acceptance not specifying for whose honour it is made 377
Liability of acceptor for honour 377
When acceptor for honour may be charged 378
Payment for honour 378
Right of payer for honour 378
Drawee in case of need 379
Acceptance and payment without protest 380
CHAPTER XII : OF COMPENSATION
Rules as to compensation 380
CHAPTER XIII : SPECIAL RULES OF EVIDENCE
Presumptions as to negotiable instruments-(a) of consideration;
(b) as to date; (c) as to time of acceptance;
(d) as to time of transfer; (e) as to order of indorsement;
(f) as to stamp; (g) that holder is a holder in due course 383
Presumption on proof of protest 392-A
Estoppel against denying original validity of instrument 392-B
Estoppel against denying capacity of payee to indorse 393
Estoppel against denying signature or capacity of prior party 394
CHAPTER XIV : OF CROSSED CHEQUES
Cheque crossed generally 394
Cheque crossed specially 396
Crossing after issue 397
Payment of cheque crossed generally. Payment of cheque
crossed specially 398
Payment of cheque crossed specially more than once 399
Payment in due course of crossed cheque 399
Payment of crossed cheque out of due course 400
Cheque bearing ''Not negotiable'' 401
Non-liability of banker receiving payment of cheque 402
Application of chapter to draft 407
CHAPTER XV : OF BILLS IN SETS
Sets of bills 408
Holder of first acquired part entitled to all 409
CHAPTER XVI : OF INTERNATIONAL LAW
Law governing liability of maker, acceptor or indorser of
foreign instrument 409
Law of place of payment governs dishonour 412
Instrument made, etc., out of India but in accordance
with the law of India 413
Presumption as to foreign law 414
CHAPTER XVII : NOTARIES PUBLIC
(Repealed ) 415
(Repealed ) 415
SCHEDULE (Repealed ) 415
APPENDICES
Hundis 417-435
Stamp Duties on Negotiable Instruments 435-443
Relevant provisions of Limitation Act, 1963 444-445
The Bills of Exchange Act, 1882 445-473
The Notaries Act, 1952 (LIII of 1952) 473-477
The Notaries Rules, 1956 477-496
The Punjab Debtors' Protection Act, II of 1936 496-501
The Punjab Relief of Indebtedness Act, VII of 1934 501-513
The Code of Civil Procedure, 1908, Order XXXVII 513-514
The Banking Companies Act (X of 1949) 514-518
The Indian Independence (Rights, Property and Liabilities)
Order, 1947 518-520
The Indian Independence Act, 1947 521-522
The Banking Laws (Amendment) Act, 1968 (58 of 1968) 523-548
Banking Companies (Acquisition and Transfer of
Undertakings) Act, 1970 (5 of 1970) 549-564
SUBJECT INDEX 565