Chapter XI - Of Acceptance and Payment for Honour and Reference in Case of Need
Section 109
Section 109: Form of acceptance for honour
Section 109 specifies the written declaration used when accepting a protested bill for honour.
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This article is for general information. Refer to the Negotiable Instruments Act, 1881 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
A person desiring to accept for honour must, by writing on the bill under his hand, declare that he accepts under protest the protested bill for the honour of the drawer or of a particular indorser whom he names, or generally for honour.
Key rule and applicability
The person writes on the bill under their hand and declares acceptance under protest. The declaration may identify the drawer, name a particular indorser or be generally for honour.
Limits and related provisions
Do not replace the on-bill declaration with an informal agreement kept elsewhere. Read section 108’s eligibility and consent conditions as well as section 110’s default where the person honoured is not specified.
Hypothetical business example
Hypothetical: an eligible associate accepts a protested bill for a named indorser’s honour. The declaration on the bill names that indorser so that the relevant honour and subsequent liability relationships can be identified.
Practical decision flow
Confirm the underlying protested bill and section 108 conditions.
Prepare the acceptance declaration on the bill under the acceptor’s hand.
State whose honour is intended or identify the effect of a general acceptance under section 110.
Practical checklist
Do
- Confirm the underlying protested bill and section 108 conditions.
- Prepare the acceptance declaration on the bill under the acceptor’s hand.
- State whose honour is intended or identify the effect of a general acceptance under section 110.
Avoid
- Do not replace the on-bill declaration with an informal agreement kept elsewhere. Read section 108’s eligibility and consent conditions as well as section 110’s default where the person honoured is not specified.
Glossary
- Declaration
- The written statement of acceptance under protest.
- Person honoured
- The drawer or specified indorser for whose honour the acceptance is made.
Frequently asked questions
Where must the declaration be written?
On the bill, under the accepting person’s hand.
Can it identify a particular indorser?
Yes. That indorser must be named in the declaration.
Can an acceptance be generally for honour?
Yes. The section permits that form; section 110 supplies the rule where whose honour is not expressed.
Need help applying this provision to your situation?
Contact BizeneedLast updated 10 October 2026