Document ID: chunk:federal_register_of_legislation:C2017C00074:section:51
Version: federal_register_of_legislation:C2017C00074
Segment Type: section
Provision Reference: s 51
Character Range: 40360–40968

51  Presumption that holder is holder in due course
 (1) Subject to subsection (2), the holder of a cheque shall, unless the contrary is proved, be presumed to be a holder in due course.
 (2) Where, in an action or proceeding on a cheque, it is admitted or proved that the drawing or issue, or a transfer by negotiation, of the cheque is affected by fraud, duress or illegality, the holder shall not be presumed, by virtue of subsection (1), to be a holder in due course unless and until the holder proves that, after the alleged fraud, duress or illegality, value was, in good faith, given for the cheque.