after its indorsement, in order to render the Rules as to indorser liable.

As to what bills are payable on demand, see sect. 10; as to cheques, see sect. 74.

In determining what is a reasonable time, regard
shall be had to the nature of the bill, the

usage of trade with regard to similar bills,
and the facts of the particular case.

(3.) Presentment must be made by the holder or
by some person authorised to receive pay-
ment on his behalf at a reasonable hour on
a business day, at the proper place as herein-
after defined, either to the person designated
by the bill as payer, or to some person
authorised to pay or refuse payment on his
behalf if with the exercise of reasonable

diligence such person can there be found.
(4.) A bill is presented at the proper place :-
(a.) Where a place of payment is specified in
the bill and the bill is there presented :

(b.) Where no place of payment is specified, but
the address of the drawee or acceptor is
given in the bill, and the bill is there
presented :

(c.) Where no place of payment is specified and
no address given and the bill is presented at
the drawee's or acceptor's place of business
if known, and if not, at his ordinary residence
if known:

(d.) In any other case if presented to the drawee
or acceptor wherever he can be found, or if
presented at his last known place of business
or residence :

presentment for payment.

Excuses for

delay or nonpresentment for payment.

(5.) Where a bill is presented at the proper place
and after the exercise of reasonable diligence
no person authorised to pay or refuse pay-
ment can be found there, no further present-
ment to the drawee or acceptor is required.
(6.) Where a bill is drawn upon, or accepted by
two or more persons who are not partners,
and no place of payment is specified,
presentment must be made to them all.

Of course, if one pays, or, in refusing payment, acts as the agent of the others, that is enough.

(7.) Where the drawee or acceptor of a bill is

dead, and no place of payment is specified, presentment must be made to a personal representative, if such there be, and with the exercise of reasonable. diligence he can be found.

The rules as to presentment for payment differ somewhat from those as to presentment for acceptance, because of the different nature of the act to be performed by the drawee or his agent. In the one case he has to hand over a sum of money; in the other, he has to sign a contract to be performed at a future day. Neither the death nor the bankruptcy of the payer excuse presentment for payment.

(8.) Where authorised by agreement or usage, a presentment through the post office is sufficient.

46. (1.) Delay in making presentment for payment is excused when the delay is caused by circumstances beyond the control of the holder, and not imputable to his default, misconduct, or negligence. When the cause of delay ceases to operate presentment must be made with reasonable diligence.

(2.) Presentment for payment is dispensed with,— (a.) Where, after the exercise of reasonable

diligence presentment, as required by this
Act, cannot be effected.

The fact that the holder has reason to believe that
the bill will, on presentment, be dishonoured,

does not dispense with the necessity of
presentment.

(b.) Where the drawee is a fictitious person.
(c.) As regards the drawer where the drawee or
acceptor is not bound, as between himself
and the drawer, to accept or pay the bill,
and the drawer has no reason to believe that
the bill would be paid if presented.

(d.) As regards an indorser, where the bill was
accepted or made for the accommodation of
that indorser, and he has no reason to
expect that the bill would be paid if
presented.

(e.) By waiver of presentment, express or implied.

The waiver may be before or after the omission to present. If the drawer or indorser promises to pay the bill after he knows that it has not been duly presented, he would be held to have waived present

ment.

non-payment.

47.-(1.) A bill is dishonoured by non-payment (a) Dishonour by when it is duly presented for payment and payment is refused or cannot be obtained, or (b) when presentment is excused and the bill is overdue and unpaid.

(2.) Subject to the provisions of this Act, when a bill is dishonoured by non-payment, an immediate right of recourse against the drawer and indorsers accrues to the holder.

For the provisions referred to, see sects. 65-68, as to acceptance and payment for honour.

Notice of dis

honour and

48. Subject to the provisions of this Act, when a and effect of non- bill has been dishonoured by non-acceptance or by

notice.

Rules as to notice of dishonour.

non-payment, notice of dishonour must be given to the drawer and each indorser, and any drawer or indorser to whom such notice is not given is discharged; Provided that

(1.) Where a bill is dishonoured by non-acceptance, and notice of dishonour is not given, the rights of a holder in due course subsequent to the omission, shall not be prejudiced by the omission.

See holder in due course defined by sect. 29. For the provisions referred to see sect. 50.

(2.) Where a bill is dishonoured by non-acceptance and due notice of dishonour is given, it shall not be necessary to give notice of a subsequent dishonour by non-payment unless the bill shall in the meantime have been accepted.

49. Notice of dishonour in order to be valid and effectual must be given in accordance with the following rules -—

(1.) The notice must be given by or on behalf of

the holder, or by or on behalf of an indorser

who, at the time of giving it, is himself liable on the bill.

(2.) Notice of dishonour may be given by an agent either in his own name or in the name of any

party entitled to give notice whether that party be his principal or not.

(3.) Where the notice is given by or on behalf of the holder it enures for the benefit of subsequent holders and all prior indorsers who have a right of recourse against the party to whom it is given..

If the holder gives Rules as to

notice of

Suppose a bill drawn by A is indorsed by C. notice to the drawer as well as C, then C can take advantage of that dishonour. notice. If, on the other hand, the holder gives notice to C only, and C gives notice to the drawer, then both the holder and C can take advantage of that notice; but if C did not send on notice the holder could sue C, but no one could sue the drawer.

(4.) Where notice is given by or on behalf of an in

dorser entitled to give notice as herein-before
provided, it enures for the benefit of the
holder, and all indorsers subsequent to the
party to whom notice is given.

(5.) The notice may be given in writing or by per-
sonal communication, and may be given in
any terms which sufficiently identify the bill,
and intimate that the bill has been dis-
honoured by non-acceptance or non-pay-
ment.

The object of the section appears to be to negative, as far as possible, the technicalities which had grown up around notices of dishonour. The following forms are suggested as complying with the terms of the Act. NOTICE OF DISHONOUR TO DRAWER.

(Signed) C. D.

bears your indorsement has been dishonoured by non-acceptance [or

non-payment.]

To Messrs. A. B. & Co.

(6.) The return of a dishonoured bill to the drawer or an indorser is, in point of form, deemed a sufficient notice of dishonour.

This subsection recognizes a common practice of collecting bankers which before was of doubtful validity.

D