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Section 81 – The Negotiable Instruments Act, 1881

The Negotiable Instruments Act, 1881


81. Delivery of instrument on payment or indemnity in case of loss


1[(1)] Any person liable to pay, and called upon by the holder thereof to pay, the amount due on a promissory note, but of exchange or cheque is before payment entitled to have it shown, is on payment entitled to have it delivered up to him, or, if the instrument is lost or cannot be produced, to be indemnified against any further claim thereon against him.


2[(2) Where the cheque is an electronic image of a truncated cheque, even after the payment the banker who received the payment shall be entitled to retain the truncated cheque.


(3) A certificate issued on the foot of the printout of the electronic image of a truncated cheque by the banker who paid the instrument, shall be prima facie proof of such payment.]

1. Section 81 renumbered as sub-section (1) thereof by Act 55of 2002, sec. 4 (w.e.f. 6-2-2003).

2. Inserted by Act 55 of 2002, sec. 4 (w.e.f. 6-2-2003).



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The Negotiable Instruments Act, 1881


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