This section of the book is from the "Canadian Banking Practice" book, by John T. P. Knight.
Question 5.— It has been alleged that sec. 42 of the Bills of Exchange Act gives the drawee the right to take two days to accept a bill, and to date the acceptance two days after presentation. What is your opinion as to this, especially as to bills drawn at or after sight?
Answer.—Sec. 42 gives the drawee no rights whatever, but only declares that the holder may, without risk of discharging the drawer or endorser, wait two days for an answer from the drawer. The holder is, however, entitled to an immediate answer, and may protest the bill at once if not accepted.
If a bill were refused acceptance immediately on presentation, the holder should treat it forthwith as dishonoured. The drawers and endorsers would probably be released if, after such refusal, the holder should wait two days before giving them notice.