Section 85
Cheque payable to order
Chapter 7: Of discharge from liability on notes, bills and cheques
[(1)] Where a cheque payable to order purports to be endorsed by or on behalf of the payee, the drawee is discharged by payment in due course. [(2) Where a cheque is originally expressed to be payable to bearer, the drawee is discharged by payment in due course to the bearer thereof, notwithstanding any endorsement whether in full or in blank appearing thereon, and notwithstanding that any such endorsement pu rports to restrict or exclude further negotiation.]
The Negotiable Instruments Act, 1881 (Act No. 26 of 1881). From the updated text on India Code, with later amendments. Being checked against the official copy; amendment notes are not shown yet.
Related sections
- 82Discharge from liability
- 83Discharge by allowing drawee more than forty-eight hours to accept
- 84When cheque not duly presented and drawer damaged thereby
- 85ADrafts drawn by one branch of a bank on another payable to order
- 86Parties not consenting discharged by qualified or limited acceptance
- 87Effect of material alteration