Effect where different parties to bill are the same person. Person signing as agent or in representative capacity. Negotiation of bill to party already liable on the bill.
Where a note is in the body of it made payable at a particular place, presentment at that place is necessary in order to render an endorser liable; but when a place of payment is indicated by way of memorandum only, presentment at that place is sufficient to render the endorser liable, but a presentment to the maker elsewhere, if sufficient in other respects, shall also suffice. The following provisions as to bills do not apply to notes, namely, provisions relating to— presentment for acceptance; acceptance; acceptance supra protest; bills in a set. Nothing in this section shall be construed as requiring the bill or note of a corporation to be under seal. “Nonbusiness days” for the purposes of this Act means Sundays and public holidays, and any other day is a business day.
Rules as to presentment for acceptance and excuses for nonpresentment. Presentment for payment is necessary in order to render the endorser of a note liable. The maker of a promissory note by making it— engages that he or she will pay it according to its tenor; is precluded from denying to a holder in due course the existence of the payee and his or her then capacity to endorse. In applying those provisions, the maker of a note shall be deemed to correspond with the acceptor of a bill, and the first endorser of a note shall be deemed to correspond with the drawer of an accepted bill payable to drawer’s order. A thing is deemed to be done in good faith within the meaning of this Act where it is in fact done honestly, whether it is done negligently or not. In the case of a corporation, where by this Act any instrument or writing is required to be signed, it is sufficient if the instrument or writing is sealed with the corporate seal. Where, by this Act, the time limited for doing any act or thing is less than three days, in reckoning time, nonbusiness days are excluded. For the purposes of this Act, where a bill or note is required to be protested within a specified time, or before some further proceeding is taken, it is sufficient that the bill has been noted for protest before the expiration of the specified time or the taking of the proceeding; and the formal protest may be extended at any time thereafter as of the date of the noting. The form given in the Schedule to this Act may be used with necessary modifications, and if used shall be sufficient. Nothing in this Act shall affect— the provisions of the Stamps Act or any law or enactment relating to the revenue; the provisions of the Companies Act or any Act relating to joint stock banks or companies; the validity of any usage relating to dividend warrants, or the endorsements thereof. Householder Witness Witness NB—The bill itself should be annexed, or a copy of the bill, and all that is written on it should be underwritten.
Subject to the preceding rules, where any one part of a bill drawn in a set is discharged by payment or otherwise, the whole bill is discharged. A note which is, or on the face of it purports to be, both made and payable within Uganda is an inland note. Where a note payable on demand is negotiated, it is not deemed to be overdue, for the purpose of affecting the holder with defects of title of which he or she had no notice, by reason that it appears that a reasonable time for presenting it for payment has elapsed since its issue. In any other case, presentment for payment is not necessary in order to render the maker liable. Subject to the provisions in this Part and, except as by this section provided, the provisions of this Act relating to bills of exchange apply, with the necessary modifications, to promissory notes. Where, by this Act, any instrument or writing is required to be signed by any person, it is not necessary that he or she should sign it with his or her own hand, but it is sufficient if his or her signature is written on it by some other person by or under his or her authority. Where a dishonoured bill or note is authorised or required to be protested, and the services of a notary cannot be obtained at the place where the bill is dishonoured, any householder or substantial resident of the place may, in the presence of two witnesses, give a certificate, signed by them, attesting the dishonour of the bill, and the certificate shall in all respects operate as if it were a formal protest of the bill. The provisions of this Act as to crossed cheques shall apply to a warrant for payment of dividend. The rules of common law, including the law merchant, except insofar as they are inconsistent with the express provisions of this Act, shall continue to apply to bills of exchange, promissory notes and cheques. Know all men that I, (householder), of , at the request of , there being no notary public available, did on the day of , 20 ____, at demand payment (or acceptance) of the bill of exchange hereunder written, from , to which demand he or she made answer (state answer, if any), wherefore I now, in the presence of and , do protest the bill of exchange.
When the acceptor of a bill drawn in a set pays it without requiring the part bearing his or her acceptance to be delivered up to him or her, and that part at maturity is outstanding in the hands of a holder in due course, he or she is liable to the holder of it. For the purposes of this subsection, “banker’s draft” means a draft payable on demand drawn by or on behalf of a bank upon itself, whether payable at the head office or some other office of the bank. A note is not invalid by reason only that it contains also a pledge of collateral security with authority to sell or dispose of it. In determining what is a reasonable time, regard shall be had to the nature of the instrument, the usage of trade and the facts of the particular case. Where a promissory note is in the body of it made payable at a particular place, it must be presented for payment at that place in order to render the maker liable. (1) The rules in bankruptcy relating to bills of exchange, promissory notes and cheques shall continue to apply thereto notwithstanding anything in this Act. Form of Protest Which May be Used When the Services of a Notary Cannot be Obtained.
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