This section of the book is from the "Canadian Banking Practice" book, by John T. P. Knight.
Question 494.— A bill of exchange payable one month after sight is presented for acceptance on the 12th January. The acceptor writes his acceptance across it, but adds as the date "16th January." The holder pays no attention to the latter date, but treats the acceptance as of the 12th, presenting the bill for payment at maturity calculated from the 12th. The party refuses payment on the ground that the maturity must be calculated from the 16th, and the bill is protested for non-payment.
Is the holder justified in protesting the note, or having taken the acceptance without demur, is he obliged to abide by the date which the acceptor added ?
Answer.—Section 54 of the Bills of Exchange Act declares that the liability of an acceptor is to pay a bill " according to the tenor of his acceptance." This seems to involve in the case put, that the obligation of the acceptor is to pay the bill at one month and three days after the 16th, the date which forms part of his acceptance. C therefore would not be justified in protesting the bill on the date mentioned, because he would have no claim on B until the time fixed by the acceptance should come round.
Under such conditions as the above the drawers and endorsers would be discharged, the holder having taken an acceptance which varied the effect of the bill as drawn.