Document ID: chunk:federal_register_of_legislation:C2012C00128:section:59
Version: federal_register_of_legislation:C2012C00128
Segment Type: section
Provision Reference: s 59
Character Range: 51630–52354

59  Liability of acceptor

  The acceptor of a bill, by accepting it:
 (a) engages that he or she will pay it according to the tenor of his or her acceptance; and
 (b) is precluded from denying to a holder in due course:
 (i) the existence of the drawer, the genuineness of his or her signature, and his or her capacity and authority to draw the bill; and
 (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 or her indorsement; and
 (iii) in the case of a bill payable to the order of a third person, the existence of the payee and his or her then capacity to indorse, but not the genuineness or validity of his or her indorsement.