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bill, noted and notary

NOTING. Where a bill has been dis honoured by non-acceptance or by non payment it may be handed by the holder to a notary public to be noted. The notary presents the bill again to the drawee for acceptance, or to the acceptor for payment, or to the bank where accepted payable, and if acceptance or payment is still not obtained the notary makes an official note of the fact upon the bill, or upon a slip which is attached to the bill. In the case of an inland bill, it is not necessary to note or protest any such bill in order to preserve the re course against the drawer or indorsers. (Section 51, s.s. 1, Bills of Exchange Act, 1882.) When an inland bill is noted, it is generally with the idea of getting someone to accept the bill for the honour of one of the parties to it.

In the case of a foreign bill, however, which has been dishonoured by non-accept ance or non-payment, it must, in order to charge the drawer and indorsers, be duly protested for non-acceptance or non-pay ment (Section 51, s.s. 2), unless instructions are received from the remitter of the bill that it is not to be noted or protested.

Noting is a preparatory step to the protest. A bill must be noted on the day of its dis honour ; the protest may be subsequently extended as of the date of the noting. (Section 51, s.s. 4.) A bill may be noted at any time on the day of maturity ; in London it is not sent to the notary till the bank is closed. Delay in noting is excused when the delay is caused by circumstances beyond the control of the holder and not imputable to his default, misconduct or negligence. (Sec tion 51, s.s. 9.) A holder of a dishonoured bill is entitled to recover the expenses of noting from any party liable on the bill. (See Section 57, under DISHONOUR OF BILL OF EXCHANGE.I If the services of a notary cannot be obtained at the place where a bill is dis honoured, the Bills of Exchange Act, B82, provides that any householder or substantia resident of the place may, in the presence of two witnesses, give a certificate attesting the dishonour of the bill, which shall operate as if it were a formal protest of the bill. (See BILL OF EXCHANGE, PROTEST.)