How many days of grace does section 22 ordinarily add to the due date of a time bill of exchange?
Question and options
How many days of grace does section 22 ordinarily add to the due date of a time bill of exchange?
4
7
3
5
Answer and explanation
Correct answer: C - 3
Under section 22 of the Negotiable Instruments Act, 1881, a promissory note or bill of exchange not payable on demand, at sight or on presentment falls due on the third day after the day on which it is expressed to be payable. Instruments payable on demand or at sight get no days of grace at all.
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