Post dating cheques law

How paid cheque to be dealt with Division 2-Dishonour 69. Drawer and indorsers of cheque liable whether or not given notice of dishonour PART V-LIABILITIES ON CHEQUES Division 1-Liabilities of parties 71. (2) A reference in this Act to an act or thing being done in good faith is a reference to the act or thing being done honestly, whether or not the act or thing is done negligently. Payment of unindorsed order cheque as evidence of receipt by payee 114. This Act shall come into operation on such day as is, or on such respective days as are, fixed by Proclamation. (1) In this Act, unless the contrary intention appears- "action" includes a counter-claim and set-off; "Australia" includes the external Territories; "bank" means- (a) the Reserve Bank of Australia; (b) a bank within the meaning of the Banking Act 1959; (c) a person who carries on State banking within the meaning of paragraph 51 (xiii) of the Constitution; or (d) a person (other than a person referred to in paragraph (a), (b) or (c)) who carries on the business of banking outside Australia; "bearer" means the person in possession of a cheque payable to bearer; "building society" has the same meaning as in the Financial Corporations Act 1974; "credit union" has the same meaning as in the Financial Corporations Act 1974; "delivery", in relation to a cheque, means the transfer of possession of the cheque from one person to another; "drawee bank", in relation to a cheque, means the bank upon which the cheque is drawn; "financial institution" means a bank or a non-bank financial institution; "holder" means- (a) in relation to a cheque payable to order - the payee or an indorsee who is in possession of the cheque as payee or indorsee, as the case may be; and (b) in relation to a cheque payable to bearer - the bearer; "issue", in relation to a cheque, means the first delivery of the cheque to a person who takes the cheque as holder; "non-bank financial institution" means- (a) a building society or credit union that is a registered corporation within the meaning of the Financial Corporations Act 1974; and (b) any other registered corporation within the meaning of that Act, being a registered corporation prescribed, or included in a class of registered corporations prescribed, for the purposes of this definition; "possession", in relation to a cheque, means possession (whether actual or constructive) of the cheque; "value" means valuable consideration as defined by section 35.(2) An indorser of a cheque may, by an express stipulation written on the cheque- (a) negative or limit the indorser's liability on the cheque; or (b) waive, as regards the indorser, the right to presentment of the cheque.

post dating cheques law-85post dating cheques law-8

(2) Subject to sub-section 16(3), an order to pay is not an order to pay on demand if the order is expressed to require, or requires by implication, payment otherwise than on demand, at sight or on presentation.

(2) An order to pay may be an order to pay addressed to a bank notwithstanding that a person other than the bank on which the instrument containing the order is drawn, the payee or the drawer is specified in the instrument. (1) Subject to sub-sections (2) and (3), an order to pay is an order to pay on demand if- (a) the order is expressed to require payment on demand, at sight or on presentation; or (b) no time for payment is expressed in the instrument containing the order.

Inchoate instruments Division 2-Order and bearer cheques 19. Cheques payable to order of specified person Division 3-Delivery 25. Capacity to incur liability on cheque Division 5-Signature 31. (2) Nothing in this Act (other than section 92, sub-section 93 (2) and section 94) shall be taken to affect any liability that a bank would, but for this Act, have in relation to a bank cheque or bank draft drawn by it. (1) Subject to sub-section (2), nothing in this Act shall be taken to prevent 2 or more persons negating, inverting or otherwise altering, by agreement, their rights, duties and liabilities in relation to one another under this Act.

Conversion of cheque payable to bearer into cheque payable to order 24. Drawing or indorsement may be shown to be ineffective 28. Delivery of cheque payable to bearer Division 4-Capacity 30. Person signing as agent or in representative capacity 34. (2) The laws of the States and Territories and the rules of the common law (including the law merchant), except in so far as they are inconsistent with the express provisions of this Act, continue to apply in relation to cheques. (1) Unless the contrary intention appears, a reference in this Act (other than in sections 10 to 15 (inclusive), sub-section 17 (3), sub-paragraph 59 (b) (i), sub-sections 60 (1) and 62 (12) and sections 88 to 91 (inclusive)) to a cheque includes a reference to a bank cheque or bank draft.

(2) Where a cheque is dated, the cheque shall be conclusively presumed, for the purposes of sub-section (1), to have been drawn on that day. This Act binds the Crown in right of the Commonwealth, of each of the States, of the Northern Territory and of Norfolk Island. (1) A cheque is an unconditional order in writing that- (a) is addressed by a person to another person (being a bank); (b) is signed by the person giving it; and (c) requires the bank to pay on demand a sum certain in money.

Last modified 16-Dec-2017 09:44