Bills of Exchange Act 1909 – Explained

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GovCorp have been ignoring our Constitution and our laws and getting away with it far too long. It’s the responsibility of every member of the Commonwealth of Australia to know the laws that are being used against us so that we can protect our rights and freedoms.

When you give away a right, you give it away for everyone.

Don’t let GovCorp steamroller you into submission. Bills of Exchange are a valid method of settling debts.

Know your rights, know the law, and you can stop any attempt to deprive you of your rights.

We publish Bills of Exchange Act 1909 to make it easy for the people to find it and learn from it. Refer to this when dealing with any GovCorp organization that tries to deny you settlement of their bills, claiming they do not accept Bills of Exchange (BOE).

They cannot deny a BOE, because it is legal tender and we can use it to settle any account they send us.

When reading the BOE Act, refer to these sections and understand how they work. Then use them to respond to any GovCorp denial.

  1. Section 22: Definition and requisites of acceptance
  2. Section 25: Inchoate Instruments
  3. Section 50: Rules as to presentment for payment  
  4. Section 68: Cancellation  – This is very important.

BILLS OF EXCHANGE ACT 1909

TABLE OF PROVISIONS

           Long Title

   PART I–PRELIMINARY

   1.      Short title [ see Note 1]  

   2.      Commencement [ see Note 1]  

   4.      Interpretation of terms  

   5.      Application of rules of bankruptcy and common law  

   6.      Application of Act  

   7.      Application of State laws  

   PART II–BILLS–OF EXCHANGE

           Division 1–Form and interpretation

   8.      Bill of exchange defined  

   9.      Inland and foreign bills  

   10.     Effect where different parties to bill are the same person  

   11.     Address to drawee  

   12.     Certainty required as to payee  

   13.     What bills are negotiable  

   14.     Sum payable  

   15.     Bill payable on demand  

   16.     Bill payable at a future time  

   17.     Omission of date in bill payable after date  

   18.     Ante – dating and post – dating  

   19.     Computation of time of payment  

   20.     Case of need  

   21.     Optional stipulation by drawer or indorser  

   22.     Definition and requisites of acceptance  

   23.     Time for acceptance  

   24.     General and qualified acceptances  

   25.     Inchoate instruments  

   26.     Delivery  

           Division 2–Capacity and authority of parties

   27.     Capacity of parties  

   28.     Signature essential to liability  

   29.     Forged or unauthorized signature  

   30.     Procuration signatures  

   31.     Person signing as agent or in representative capacity  

           Division 3–The consideration for a bill

   32.     Value and holder for value  

   33.     Accommodation bill or party  

   34.     Holder in due course  

   35.     Presumption of value and good faith  

           Division 4–Negotiation of bills

   36.     Negotiation of bill  

   37.     Requisites of a valid indorsement  

   38.     Conditional indorsement  

   39.     Indorsement in blank and special indorsement  

   40.     Restrictive indorsement  

   41.     Negotiation of overdue or dishonoured bill  

   42.     Negotiation of bill to party already liable thereon  

   43.     Rights of holder  

           Division 5–General duties of the holder

   44.     When presentment for acceptance is necessary  

   45.     Time for presenting bill payable after sight  

   46.     Rules as to presentment for acceptance and excuses for non – presentment  

   47.     Non – acceptance  

   48.     Dishonour by non – acceptance and its consequences  

   49.     Duties as to qualified acceptances  

   50.     Rules as to presentment for payment  

   51.     Excuses for delay or non – presentment for payment  

   52.     Dishonour by non – payment  

   53.     Notice of dishonour and effect of non – notice  

   54.     Rules as to notice of dishonour  

   55.     Excuses for non – notice and delay  

   56.     Noting or protest of bill  

   57.     Duties of holder as regards drawee or acceptor  

           Division 6–Liabilities of parties

   58.     Funds in hands of drawee  

   59.     Liability of acceptor  

   60.     Liability of drawer or indorser  

   61.     Stranger signing bill liable as indorser  

   62.     Measure of damages against parties to dishonoured bill  

   63.     Transferor by delivery and transferee  

           Division 7–Discharge of bill

   64.     Payment in due course  

   65.     Banker paying demand draft whereon indorsement is forged  

   66.     Acceptor the holder at maturity  

   67.     Express waiver  

   68.     Cancellation  

   69.     Alteration of bill  

           Division 8–Acceptance and payment for honour

   70.     Acceptance for honour supra protest  

   71.     Liability of acceptor for honour  

   72.     Presentment to acceptor for honour  

   73.     Payment for honour supra protest  

           Division 9–Lost instruments

   74.     Replacement of lost or destroyed bill  

   75.     Action on lost bill  

           Division 10–Bill in a set

   76.     Rules as to sets  

           Division 11–Conflict of laws

   77.     Rules where laws conflict  

   77A.    Effect of non – compliance with stamp laws in case of certain bills of exchange  

   PART III–CHEQUES–ON A BANKER

           Division 1–Cheques generally

   78.     Cheque defined  

   79.     Presentment of cheque for payment  

   80.     Rights of banker as regards stale cheques  

   81.     Revocation of banker’s authority  

           Division 2–Crossed cheques

   82.     General and special crossings defined  

   83.     Crossing by drawer or after issue  

   84.     Crossing a material part of cheque  

   85.     Duties of banker as to crossed cheques  

   86.     Protection to banker and drawer where cheque is crossed  

   87.     Effect of crossing on holder  

   88A.    Cheques drawn by a bank on itself  

           Division 3–Other provisions relating to cheques

   88B.    Protection of bankers paying unindorsed or irregularly indorsed cheques or drafts  

   88C.    Payment of unindorsed cheque or draft as evidence of receipt by payee  

   88D.    Protection of bankers collecting payment of cheques etc.  

   88E.    Rights of banker collecting cheque not indorsed by payee  

   PART IV–PROMISSORY–NOTES

   89.     Promissory note defined  

   90.     Delivery necessary  

   91.     Joint and several notes  

   92.     Note payable on demand  

   93.     Presentment of note for payment  

   94.     Liability of maker  

   95.     Application of Part II to notes  

   PART V–SUPPLEMENTARY

   96.     Good faith  

   97.     Signature  

   98.     Computation of time  

   99.     When noting equivalent to protest  

   100.    Protest when notary not accessible  

   101.    Dividend warrants  

           FIRST SCHEDULE

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