Negotiable Instruments Act, 1881 — section 85

85. Cheque payable to order.—5[(1)] Where a cheque payable to order purports to be endorsed by or on behalf of the payee, the drawee is discharged by payment in due course. 6 [(2) Where a cheque is originally expressed to be payable to bearer, the drawee is discharged by payment in due course to the bearer thereof, notwithstanding any endorsement whether in full or in blank appearing thereon, and notwithstanding that any such endorsement purports to restrict or exclude further negotiation.] 7[85A. Draft drawn by one branch of a bank on another payable to order. Where any draft, that is, an order to pay money, drawn by one office of a bank upon another office of the same bank for a sum of money payable to order on demand, purports to be endorsed by or on behalf of the payee, the bank is discharged by payment in due course.] 1 Subs. by the Negotiable Instruments (Amdt.) Act, 1921 (12 of 1921 ), s. 2, for “ twenty-four”. 2 Subs. by the Negotiable Instruments Act, (Amendment) Act, 1897 (6 of 1897), s. 3, for the original section. 3 Subs. by the Central Laws (Statute Reform) Ordinance, 1960 (21 of 1960), s.3, and 2nd Sch., for “ Umballa” (with effect from the 14th October, 1955). 4 Subs. by the Federal Laws (Revision and Declaration) Ordinance, 1980 (27 of 1980), s. 3 and IInd Sch., for “Chittagong” which was subs. by Ord. 21 of 1960,s. 3 and 2nd Sch. for “ Calcutta” (with effect from the 14th October, 1955). 5 Section 85 re-numbered as sub-section (1) of section 85 by the Negotiable Instruments (Amdt.) Act, 1934 (17 of 1934), s. 2. 6 Sub-section (2) added, ibid. 7 Section 85A ins. by the Negotiable Instruments (Amdt.) Act, 1930 (25 of 1930), s.2.