C-374
First Session, Forty-first Parliament,
60 Elizabeth II, 2011
HOUSE OF COMMONS OF CANADA
BILL C-374
An Act to amend the Bills of Exchange Act (rights of bill holders)
first reading, December 1, 2011
Ms. Davies
411026
SUMMARY
This enactment amends the Bills of Exchange Act to make the rights of a bill holder subject to a defence or right of set-off held by a purchaser in respect of an action by the seller. The purpose of the enactment is to prevent the cashing of cheques by a cheque-cashing business where a cheque has been cancelled by the person who wrote the cheque.
Also available on the Parliament of Canada Web Site at the following address:http://www.parl.gc.ca
1st Session, 41st Parliament,
60 Elizabeth II, 2011
house of commons of canada
BILL C-374
An Act to amend the Bills of Exchange Act (rights of bill holders)
R.S., c. B-4
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
1. (1) Section 73 of the Bills of Exchange Act is renumbered as subsection 73(1).
(2) Paragraph 73(1)(b) of the Act is replaced by the following:
(b) where he is a holder in due course, he holds the bill free from any defect of title of prior parties, as well as from mere personal defences available to prior parties among themselves, except for any defence or right of set-off that the purchaser would have had in an action by the seller, and may enforce partial or full payment against all parties liable on the bill;
(3) Section 73 of the Act is amended by adding the following after subsection (1):
Application of section 188
(2) The definitions in section 188 apply to this section.
Published under authority of the Speaker of the House of CommonsAvailable from:Publishing and Depository ServicesPublic Works and Government Services Canada