The Negotiable Instruments Act, 1881
No maker of a promissory note and no acceptor of a bill of exchange [payable to order] shall, in a suit thereon by a holder in due course, be permitted to deny the payee's capacity, at the date of the note or bill, to indorse the same. Subs. by Act 66 of 1988, s. 3, for “six per centum” (w.e.f . 30 of 1919, s. 5, for “payable to, or to the order of, a specified person”.
Source & version
Official text: India Code (official) ↗
Official India Code text: The Negotiable Instruments Act, 1881 (26 of 1881), English PDF (bitstream 123456789/15327/1/negotiable_instruments_act,_1881.pdf, 681,124 bytes, sha256 50fe22a1…) fetched directly from indiacode.nic.in (Akamai edge, DNS via dns.google) on 2026-07-29. Extracted via pdftotext 26.07 -bbox and @nexlex/ingest gazette parser. Automated parse; footnotes/amendment history excluded; spot-verified (s. 138 cheque dishonour); full clause-level proofread pending.
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