Calculation of maturity: Where a bill is payable at a fixed period after sight, the time is to be calculated from the date of acceptances if the bill is accepted and from the date of noting or protest if the bill is noted or protested for non-acceptance (For the explanation of noting and protesting, read Section 99 and 100 of the Negotiable Instruments Act).
In the case of note, the expression “after sight” means after exhibition thereof to maker for the purpose of founding a claim for payment. In the case of a bill payable after a stipulated number of months after sight which has been accepted for honour, the date of its maturity is calculated from the date of acceptance for honour. (For the explanation of the phrase ‘acceptance for honour’, read Section 108 of the Negotiable Instruments Act. ).
In calculating the date at which a note or bill made payable a certain number of days after date or after sight or after a certain event is at maturity on the days or the date, or the day of presentment for acceptance or sight or the day of protest for non-acceptance, or the day on which the event happens shall be excluded (Section 24). When a note or bill is made payable, a stated number of months after date, the period stated terminates on the day of the month, which corresponds, with the day on which the instrument is dated. When it is made payable after a stated number of months after sight the period terminates on the day on the month which corresponds with the day on which it is presented for acceptance or sight or noted for non-acceptance or protested for non-acceptance. When it is payable a stated number of months after a certain event, the period terminations on the day of the months which corresponds with the day on which the event happens (Section 23).
If the months in which the period would terminate have no corresponding day, the period terminates on the last day of such month (Section 23). Three days of grace are allowed to these instruments after the day on which they are expressed to be payable (Section 22).
When the last day of grace falls on a day, which is public holiday, the instrument is due and payable on the preceding business day (Section 15).
In the case of note, the expression “after sight” means after exhibition thereof to maker for the purpose of founding a claim for payment. In the case of a bill payable after a stipulated number of months after sight which has been accepted for honour, the date of its maturity is calculated from the date of acceptance for honour. (For the explanation of the phrase ‘acceptance for honour’, read Section 108 of the Negotiable Instruments Act. ).
In calculating the date at which a note or bill made payable a certain number of days after date or after sight or after a certain event is at maturity on the days or the date, or the day of presentment for acceptance or sight or the day of protest for non-acceptance, or the day on which the event happens shall be excluded (Section 24). When a note or bill is made payable, a stated number of months after date, the period stated terminates on the day of the month, which corresponds, with the day on which the instrument is dated. When it is made payable after a stated number of months after sight the period terminates on the day on the month which corresponds with the day on which it is presented for acceptance or sight or noted for non-acceptance or protested for non-acceptance. When it is payable a stated number of months after a certain event, the period terminations on the day of the months which corresponds with the day on which the event happens (Section 23).
If the months in which the period would terminate have no corresponding day, the period terminates on the last day of such month (Section 23). Three days of grace are allowed to these instruments after the day on which they are expressed to be payable (Section 22).
When the last day of grace falls on a day, which is public holiday, the instrument is due and payable on the preceding business day (Section 15).
How to calculate maturity of Bills
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