Negotiable Instruments Act Section 91 — Dishonour by non-acceptance
CHAPTER VIII OF NOTICE OF DISHONOUR
General
Summary
A bill of exchange is considered dishonoured by non-acceptance if the person who is supposed to accept it (the drawee), or one of several drawees who are not partners, fails to accept it when properly asked to do so. It is also dishonoured if the bill was not required to be presented for acceptance and it is not accepted. Additionally, the bill can be treated as dishonoured if the drawee is legally unable to make a contract, or if the acceptance is given with conditions or changes.
Official Text
A bill of exchange is said to be dishonoured by non-acceptance when the drawee, or one of several drawees not being partners, makes default in acceptance upon being duly required to accept the bill, or where presentment is excused and the bill is not accepted. Where the drawee is incompetent to contract, or the acceptance is qualified the bill may be treated as dishonoured.