Negotiable Instruments Act Section 116 — Acceptance and payment without protest

CHAPTER XI OF ACCEPTANCE AND PAYMENT FOR HONOUR AND REFERENCE IN CASE OF NEED

General

Summary

A drawee in case of need is allowed to accept and pay a bill of exchange even if the bill has not been formally protested beforehand. This means the person who steps in to pay when needed can do so without waiting for a legal protest to be recorded. The section simply permits this action without requiring that prior step.

Official Text

A drawee in case of need may accept and pay the bill of exchange without previous protest.