Section 76 - When presentment unnecessary, Section 77 - Liability of banker for negligently dealing with bill presented for payment : Negotiable Instruments Act 1881

When presentment unnecessary? Liability of banker for negligently dealing with bill presented for payment? When presentment unnecessary and Liability of banker for negligently dealing with bill presented for payment are defined under Section 76 and 77 of Negotiable Instruments Act 1881

Section 76 of Negotiable Instruments Act 1881: "When presentment unnecessary"

No presentment for payment is necessary, and the instrument is dishonoured at the due date for presentment, in any of the following cases :

(a) if the maker, drawee or acceptor intentionally prevents the presentment of the instrument, or

if the instrument being payable at his place of business, he closes such place on a business day during the usual business hours, or

if the instrument being payable at some other specified place, neither he nor any person authorized to pay it attends at such place during the usual business hours, or

if the instrument not being payable at any specified place, he cannot after due search be found;

(b) as against any party sought to be charged therewith, if he has engaged to pay notwithstanding non-presentment;

he makes a part payment on account of the amount due on the instrument, or promises to pay the amount due thereon in whole or in part,

or otherwise waives his right to take advantage of any default in presentment for payment;

(d) as against the drawer, if the drawer could not suffer damage from the want of such presentment.

Section 77 of Negotiable Instruments Act 1881: "Liability of banker for negligently dealing with bill presented for payment"

When a bill of exchange, accepted payable at a specified bank, has been duly presented there for payment and dishonoured, if the banker so negligently or improperly keeps, deals with or delivers back such bill as to cause loss to the holder, he must compensate the holder for such loss.