Section 65 and Section 66 of Negotiable Instruments Act 1881: Hours and Time for Presentment
Sections 65 and 66 form part of Chapter V of the Negotiable Instruments Act, 1881. Section 65 regulates the hours during which an instrument must be presented for payment, while Section 66 requires a promissory note or bill of exchange payable at a specified period after date or sight to be presented for payment at maturity.
Section 65 - Hours for presentment
Presentment for payment must be made during the usual hours of business, and, if at a banker's, within banking hours.
Meaning of Section 65
Section 65 fixes the permissible time of day for presentment for payment. The general rule is that presentment must take place during the usual hours of business. Where presentment is made at a banker's, the applicable requirement is that it must be made within banking hours.
The provision operates with Section 64, which states the general requirement for presentment of promissory notes, bills of exchange and cheques for payment, and with the other provisions of Chapter V that regulate the time, place and circumstances of presentment.
Section 66 - Presentment for payment of instrument payable after date or sight
A promissory note or bill of exchange, made payable at a specified period after date or sight thereof, must be presented for payment at maturity.
Meaning of Section 66
Section 66 applies to a promissory note or bill of exchange whose payment is due after a specified period calculated from its date or from sight. Such an instrument must be presented for payment when it reaches maturity.
What does maturity mean?
Section 22 of the Act provides that the maturity of a promissory note or bill of exchange is the date at which it falls due. For an instrument that is not payable on demand, at sight or on presentment, Section 22 ordinarily adds three days of grace to the period specified by the instrument, subject to the Act. Sections 23 to 25 contain further rules for calculating maturity in particular situations, including instruments payable a stated number of months or days after date or sight and cases where the maturity day is a public holiday.
What does payable after sight mean?
An instrument payable after sight becomes payable after the specified period calculated by reference to sight in accordance with the Act and the terms of the instrument. For a bill payable after sight, Section 61 deals with presentment for acceptance. For a promissory note payable at a certain period after sight, Section 62 requires presentment to the maker for sight. Section 66 then requires presentment for payment at maturity.
Sections 65 and 66 at a glance
| Provision | Subject | Requirement |
|---|---|---|
| Section 65 | Hours for presentment | Presentment for payment must be during usual business hours and, at a banker's, within banking hours. |
| Section 66 | Instrument payable after date or sight | A promissory note or bill of exchange payable at a specified period after date or sight must be presented for payment at maturity. |
Related provisions
Sections 65 and 66 should be read with Sections 22 to 25 on maturity and Chapter V on presentment. Section 64 contains the general rule for presentment for payment; Section 67 addresses promissory notes payable by instalments; Sections 68 to 71 regulate the place of presentment; Sections 72 and 73 deal with presentment of cheques; Section 74 concerns instruments payable on demand; Sections 75 and 75A address representatives and excusable delay; and Section 76 specifies when presentment is unnecessary.
This article explains the statutory provisions for general legal information. For authoritative wording, amendments and legislative status, refer to the official India Code source linked above.