The liability of the drawer and of indorsers is conditional, not absolute. The drawer admits the existence and capacity of the payee, and en gages that the bill shall be accepted and paid by the drawee upon due presentment, and if it is dishonored and proceedings thereon are taken, he will pay it to the holder or to any indorser who may be compelled to take it up. Every in dorser engages: that the instrument is a genuine, valid, and subsisting bill. to which he has a good title; that all prior parties were capable of con tracting; that if accepted it shall be paid, or if not accepted, that it shall he accepted and paid upon due presentment, and if it is dishonored and due proceedings thereon are taken, that he will pay it to the holder, or to any indorser sub sequent to himself who may be compelled to take it up.
Whether a bill must be presented for accept ance depends upon its form. If such present ment is necessary to fix the maturity of the bill, as when it is payable after sight, or if the hill stipulates that such presentment shall be made, or when the bill is made payable elsewhere than at the residence or place of business of the drawee, it must be presented for acceptance. If
so presented, and acceptance is refused by the drawee. the holder, upon taking due proceedings of dishonor, has au immediate right of recourse against the drawer and indorsers. and need not present the bill thereafter for payment. If the bill is accepted. then due presentment for pay ment must he made, in order to fix the liability of drafter and indorsers. It is impossible, within the limits of this article, to state the various rules governing the thee and manner of present ment of hills, and the proceedings of dishonor to be taken by the holder in order to secure his right of recourse against the drawer and indorsers.
For these, the reader is referred to law treatises on the subject, or to the Negotiable Instrument Law which has been enacted in a number of our States. (This statute is Chap. 612 of the Laws of New York, 1897: Chap. 74. Laws of Connecti cut, 1897.) The negotiability of a bill of ex change will be dealt with in the article on NEGO TIABLE INSTRUMENTS. See NEGOTIABLE INSTRU MENTS, and the authorities there referred to.