A bill of exchange is dishonoured by non-payment. Within a reasonable time the holder has the dishonour noted by a notary public, who then issues a certificate attesting it. Under the Negotiable…

Section 100 of the Negotiable Instruments Act, 1881 provides that when a note or bill is dishonoured, the holder may have the dishonour noted and certified by a notary public, and that certificate is called a protest. Noting under section 99 is only the notary's record of the dishonour that comes before it. A protest for better security is made when the acceptor becomes insolvent or his credit is publicly impeached before maturity, and a notice of dishonour is the holder's own notice to the parties he wants to hold liable.