Document ID: chunk:federal_register_of_legislation:C2017C00074:section:70b
Version: federal_register_of_legislation:C2017C00074
Segment Type: section
Provision Reference: s 70B
Character Range: 76652–77655

70B  Consequences of cheque being taken to be dishonoured
  If a cheque that has been lodged with a financial institution (the collecting financial institution) for collection is taken to be dishonoured under section 70A (the deemed dishonour) then:
 (a) the deemed dishonour has the same consequences as if the cheque had been duly presented for payment and had been dishonoured in accordance with section 69; and
 (b) if the cheque has not been duly presented for payment, the requirement in section 66 to duly present the cheque for payment does not apply; and
 (c) if the collecting financial institution has made a provisional credit to an account in respect of the cheque, it may reverse that provisional credit; and
 (d) if the drawee institution has made a provisional debit to an account in respect of the cheque, the provisional debit is taken to be reversed, by force of this section, immediately after the deemed dishonour.

Part V—Liabilities on cheques

Division 1—Liabilities of parties