### Bills of Exchange Ordinance 《匯票條例》

52. Duties of holder as regards drawee or acceptor
(1) When a bill is accepted generally, presentment for payment is not necessary in order to render the acceptor liable.
(2) When by the terms of a qualified acceptance presentment for payment is required, the acceptor, in the absence of an express stipulation to that effect, is not discharged by the omission to present the bill for payment on the day that it matures.
(3) In order to render the acceptor of a bill liable, it is not necessary to protest it or that notice of dishonour should be given to him.
(4) Where the holder of a bill presents it for payment, he shall exhibit the bill to the person from whom he demands payment, and when a bill is paid the holder shall forthwith deliver it up to the party paying it.
[cf. 1882 c. 61 s. 52 U.K.]

53. Funds in hands of drawee
A bill, of itself, does not operate as an assignment of funds in the hands of the drawee available for the payment thereof, and the drawee of a bill who does not accept, as required by this Ordinance, is not liable on the instrument.
[cf. 1882 c. 61 s. 53 U.K.]

54. Liability of acceptor
The acceptor of a bill, by accepting it—
(a) engages that he will pay it according to the tenor of his acceptance;
(b) is precluded from denying to a holder in due course—
(i) the existence of the drawer, the genuineness of his signature, and his capacity and authority to draw the bill;
(ii) in the case of a bill payable to drawer’s order, the then capacity of the drawer to indorse, but not the genuineness or validity of his indorsement;
(iii) in the case of a bill payable to the order of a third person, the existence of the payee and his then capacity to indorse, but not the genuineness or validity of his indorsement.
[cf. 1882 c. 61 s. 54 U.K.]

### Bills of Exchange Ordinance 《匯票條例》

55. Liability of drawer or indorser
(1) The drawer of a bill, by drawing it—
(a) engages that, on due presentment, it shall be accepted and paid according to its tenor, and that if it is dishonoured he will compensate the holder or any indorser who is compelled to pay it, provided that the requisite proceedings on dishonour are duly taken;
(b) is precluded from denying to a holder in due course the existence of the payee and his then capacity to indorse.
(2) The indorser of a bill, by indorsing it—
(a) engages that, on due presentment, it shall be accepted and paid according to its tenor, and that if it is dishonoured he will compensate the holder or a subsequent indorser who is compelled to pay it, provided that the requisite proceedings on dishonour are duly taken;
(b) is precluded from denying to a holder in due course the genuineness and regularity in all respects of the drawer’s signature and all previous indorsements;
(c) is precluded from denying to his immediate or a subsequent indorsee that the bill was, at the time of his indorsement, a valid and subsisting bill, and that he had then a good title thereto.
[cf. 1882 c. 61 s. 55 U.K.]

56. Stranger signing bill liable as indorser
Where a person signs a bill otherwise than as drawer or acceptor, he thereby incurs the liabilities of an indorser to a holder in due course.
[cf. 1882 c. 61 s. 56 U.K.]

### Bills of Exchange Ordinance 《匯票條例》

57. Measure of damages against parties to dishonoured bill
Where a bill is dishonoured, the measure of damages, which shall be deemed to be liquidated damages, shall be as follows—
(a) the holder may recover from any party liable on the bill, and the drawer who has been compelled to pay the bill may recover from the acceptor, and an indorser who has been compelled to pay the bill may recover from the acceptor, or from the drawer, or from a prior indorser—
(i) the amount of the bill;
(ii) interest thereon from the time of presentment for payment, if the bill is payable on demand, and from the maturity of the bill in any other case;
(iii) the expenses of noting, or when protest is necessary and the protest has been extended, the expenses of protest;
(b) in the case of a bill which has been dishonoured at any place outside Hong Kong, in lieu of the above damages, the holder may recover from the drawer or an indorser, and the drawer or an indorser who has been compelled to pay the bill may recover from any party liable to him, the amount of the re-exchange, with interest thereon until the time of payment; (Amended 23 of 1998 s. 2)
(c) where by this Ordinance interest may be recovered as damages, such interest may, if justice requires it, be withheld wholly or in part, and where a bill is expressed to be payable with interest at a given rate, interest as damages may or may not be given at the same rate as interest proper.
[cf. 1882 c. 61 s. 57 U.K.]

58. Transferor by delivery and transferee
(1) Where the holder of a bill payable to bearer negotiates it by delivery without indorsing it, he is called a “transferor by delivery” (以交付方式轉讓匯票的移轉人).
(2) A transferor by delivery is not liable on the instrument.
(3) A transferor by delivery who negotiates a bill thereby warrants to his immediate transferee, being a holder for value, that the bill is what it purports to be, that he has a right to transfer it, and that, at the time of transfer, he is not aware of any fact which renders it valueless.
[cf. 1882 c. 61 s. 58 U.K.]