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negotiable-instruments:section-75a

Excuse for delay in presentment for acceptance or payment

Section 75A of the Negotiable Instruments Act,1881.

Delay in presentment “for acceptance or payment” is excused if 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 within a reasonable time.

This is a post-war section enacted to counteract the effects of the Great War of 1914 on the question of presentment. This section has been added by Act 25 of 1920 and the words within quotation have been added by Act 12 of 1921. The section makes allowance for special circumstances, causing delay in presentment, over which the holder has absolutely no control as, where the payee is ill, or where on account of war the bill cannot be transmitted by the holder for payment, or a declaration of moratorium. In such cases delay is excused. Where owing to the loss of the hundi and refusal by the drawer to issue a duplicate, there could be no presentation, non-presentment was excused.1) Where there is delay, the holder must not be in any way a contributory to the cause. When the cause of delay ceases to operate reasonable time will run therefrom within which presentation must be made or delay.

1)
Udhoram v Hemraj, 1924 Lah. 198

Created on 2021/02/21 06:37 by LawPage • Last modified on 2021/02/21 06:37 by LawPage