X.

ACCEPTANCE

Sec. 132. Acceptance; how made, by and so forth. - The acceptance of a bill is the signification
by the drawee of his assent to the order of the drawer. The acceptance must be in writing
and signed by the drawee. It must not express that the drawee will perform his promise by
any other means than the payment of money.
Sec. 132. Reception; How to do it, by, etc. - Receipt of an invoice is an indication of the recipient
of his approval of the drawer order. Receipts must be in writing and signed on the street. It
should not be suggested that the drawer will fulfill his promise by any means other than paying
money.
 
Sec. 133. Holder entitled to acceptance on face of bill. - The holder of a bill presenting the
same for acceptance may require that the acceptance be written on the bill, and, if such
request is refused, may treat the bill as dishonored.
 
Sec. 133. Owner is entitled to invoice. - An invoice holder showing the same for receipts can
request that the receipt be debited and, if such a request is rejected, treat the invoice as
dishonorable.

Sec. 134. Acceptance by separate instrument. - Where an acceptance is written on a paper

other than the bill itself, it does not bind the acceptor except in favor of a person to whom it
is shown and who, on the faith thereof, receives the bill for value.

Sec. 134. Acceptance by separate instrument. - If the receipt is written on a piece of paper
different from the invoice itself, this is not binding on the recipient, except for the benefit of the
person who was presented and who, believed it, received the value of the invoice.

Sec. 135. Promise to accept; when equivalent to acceptance. - An unconditional promise in

writing to accept a bill before it is drawn is deemed an actual acceptance in favor of every
person who, upon the faith thereof, receives the bill for value.
Sec. 135. Receiving an appointment; when synonymous with acceptance. - An unconditional
written promise to receive an account before it is withdrawn is considered an actual acceptance
in favor of a person who, if he is sure, will receive the account of value.

 
Sec. 136. Time allowed drawee to accept. - The drawee is allowed twenty-four hours after
presentment in which to decide whether or not he will accept the bill; the acceptance, if
given, dates as of the day of presentation.

 Sec. 136. The time it takes for the route to receive. - After the presentation, twenty-four hours
are allowed to decide whether to receive an invoice or not. If specified, acceptance will be
made on the day of delivery.

Sec. 137. Liability of drawee returning or destroying bill. - Where a drawee to whom a bill is
delivered for acceptance destroys the same, or refuses within twenty-four hours after such
delivery or within such other period as the holder may allow, to return the bill accepted or
non-accepted to the holder, he will be deemed to have accepted the same.
Sec. 137. Obligations of payers who return or destroy accounts. If the drawer to which the
account has been transferred for acceptance destroys it or refuses to return the account
received or not received to the owner within twenty-four hours of such delivery or in another
period as agreed by the owner, it will deem it received the same.

Sec. 138. Acceptance of incomplete bill. - A bill may be accepted before it has been signed by
the drawer, or while otherwise incomplete, or when it is overdue, or after it has been
dishonored by a previous refusal to accept, or by non payment. But when a bill payable after
sight is dishonored by non-acceptance and the drawee subsequently accepts it, the holder, in
the absence of any different agreement, is entitled to have the bill accepted as of the date of
the first presentment.

 Sec. 138. Receipt of an invoice that is incomplete. - An invoice may be received before being
signed by the drawer or until otherwise incomplete, if it has passed or after it has not been
honored by a previous refusal to accept or not pay. However, if the invoice to be paid at sight is
disliked because it cannot be accepted and subsequently accepted by the user, the owner has
the right, in the absence of any other agreement, to receive the invoice on the day of the first
presentation. .

Sec. 139. Kinds of acceptance. - An acceptance is either general or qualified. A general

acceptance assents without qualification to the order of the drawer. A qualified acceptance in
express terms varies the effect of the bill as drawn.
Sec. 139. Types of acceptance. - Registration is general or qualifying. General acceptance is
approved without limitation in the order of the drawers. Qualified receipts quickly change the
effect of prepared invoices.
 
Sec. 140. What constitutes a general acceptance. - An acceptance to pay at a particular place
is a general acceptance unless it expressly states that the bill is to be paid there only and not
elsewhere.
Sec. 140. What is general acceptance? - Receipt of payment at a specific location is a general
assumption, unless it is expressly stated that invoices are to be paid only there and not
elsewhere.
 
Sec. 141. Qualified acceptance. - An acceptance is qualified which
is:chanroblesvirtuallawlibrary
(a) Conditional; that is to say, which makes payment by the acceptor dependent on the
fulfillment of a condition therein stated;
 
(b) Partial; that is to say, an acceptance to pay part only of the amount for which the bill is
drawn;
 
(c) Local; that is to say, an acceptance to pay only at a particular place;
 
(d) Qualified as to time;
 
(e) The acceptance of some, one or more of the drawees but not of all.

Sec. 141. Eligible registration. - Entries meet the requirements, namely:

chanroblesvirtuallawlibrary
a) conditional; that is, the payment by the recipient must meet the conditions specified therein;

(b) in part; that is, the assumption that you will only pay a portion of the amount invoiced;

(c) local; that is, receipt of payments only at certain locations;

(d) meet the requirements in a timely manner;

(e) Accept several, one or more concepts, but not all.

Sec. 142. Rights of parties as to qualified acceptance. - The holder may refuse to take a
qualified acceptance and if he does not obtain an unqualified acceptance, he may treat the
bill as dishonored by non-acceptance. Where a qualified acceptance is taken, the drawer and
indorsers are discharged from liability on the bill unless they have expressly or impliedly
authorized the holder to take a qualified acceptance, or subsequently assent thereto. When
the drawer or an indorser receives notice of a qualified acceptance, he must, within a
reasonable time, express his dissent to the holder or he will be deemed to have assented
thereto.
Sec. 142. The right of the parties to eligible admission. - Holders can refuse to accept eligible
admissions. If he does not receive unconditional acceptance, he can treat the account as shame
of not being accepted. If eligible receipts are accepted, withdrawers and depositors will be
released from account responsibility unless they expressly or impliedly authorize their holders
to accept or subsequently give their consent for eligible admissions. If a customer or letter
sender receives notification of a Qualified Acceptance, they must, within a reasonable
timeframe, express their disagreement with the holder or they will be deemed to have given
their consent.
XI. PRESENTMENT FOR ACCEPTANCE

Sec. 143. When presentment for acceptance must be made. - Presentment for acceptance
must be made:chanroblesvirtuallawlibrary
(a) Where the bill is payable after sight, or in any other case, where presentment for
acceptance is necessary in order to fix the maturity of the instrument; or
 
(b) Where the bill expressly stipulates that it shall be presented for acceptance; or
 
(c) Where the bill is drawn payable elsewhere than at the residence or place of business of
the drawee.
In no other case is presentment for acceptance necessary in order to render any party to the
bill liable.
Sec. 143. When submissions have to be made to be accepted. - Submissions for admission must
be made: chanroblesvirtuallawlibrary
(a) when an invoice is payable on view or, in other cases, when presentation is required for
receipt to determine the maturity of the instrument; or

(b) if the draft law expressly stipulates that it is to be submitted for adoption; or
(c) If the account is debited, it is paid at a location other than the place of residence or place of
business on the route.
In other cases, no request for acceptance is required for any party in the account to be held
liable.
 
Sec. 144. When failure to present releases drawer and indorser. - Except as herein otherwise
provided, the holder of a bill which is required by the next preceding section to be presented
for acceptance must either present it for acceptance or negotiate it within a reasonable time.
If he fails to do so, the drawer and all indorsers are discharged.
Section 144. When non-presentation let go of the drawers and disposers. - Unless otherwise
stated herein, the account holder who must be presented for acceptance in the preceding
section must show it for acceptance or negotiate within a reasonable time. Otherwise, the
drawers and all vents will come off.
 
Sec. 145. Presentment; how made. - Presentment for acceptance must be made by or on
behalf of the holder at a reasonable hour, on a business day and before the bill is overdue, to
the drawee or some person authorized to accept or refuse acceptance on his behalf; and
(a) Where a bill is addressed to two or more drawees who are not partners, presentment
must be made to them all unless one has authority to accept or refuse acceptance for all, in
which case presentment may be made to him only;
 
(b) Where the drawee is dead, presentment may be made to his personal representative;
 
(c) Where the drawee has been adjudged a bankrupt or an insolvent or has made an
assignment for the benefit of creditors, presentment may be made to him or to his trustee or
assignee.
Sec. 145. Presentation; how it is made. - Applications for acceptance must be made by or on
behalf of the holder within a reasonable time, on the working day and prior to delays in
accounts, on routes or by persons authorized to accept or reject receipts on their behalf. and
(a) If the bill is directed to two or more non-affiliated signatories, the motion must be made to
all of them unless someone has the authority to accept or refuse acceptance for all. In this case,
surrender can only be made to him. ;
(b) If the lottery dies, it can introduce himself to his personal representative;

(c) If Route has been found guilty of bankruptcy or bankruptcy, or transfers have been made on
behalf of creditors, a lawsuit may be filed against it or its guardian or bankruptcy attorney.
Sec. 146. On what days presentment may be made. - A bill may be presented for acceptance
on any day on which negotiable instruments may be presented for payment under the
provisions of Sections seventy-two and eighty-five of this Act. When Saturday is not
otherwise a holiday, presentment for acceptance may be made before twelve o'clock noon
on that day.

Sec. 146. On what day of the presentation may be given. - An invoice may be submitted for
receipt on the day when the Contract Instrument can be presented for payment in accordance
with the provisions of Sections Seventy-Two and Eighty-Five of this Act. If Saturday is not
another national holiday, the presentation for the reception on that day could be before noon.

Sec. 147. Presentment where time is insufficient. - Where the holder of a bill drawn payable
elsewhere than at the place of business or the residence of the drawee has no time, with the
exercise of reasonable diligence, to present the bill for acceptance before presenting it for
payment on the day that it falls due, the delay caused by presenting the bill for acceptance
before presenting it for payment is excused and does not discharge the drawers and
indorsers.
Sec. 147. Representation if time is not enough. - If the debt holder drawn at a location other
than a place of business or residence on the route does not have time to take care to show a
receipt for receipt before submitting it for payment on the due day, The Delays caused by
showing a receipt for receipt before sending it for payment is justified and do not let go of
drawers and utensils.
 
Sec. 148. Where presentment is excused. - Presentment for acceptance is excused and a bill
may be treated as dishonored by non-acceptance in either of the following
cases:chanroblesvirtuallawlibrary
(a) Where the drawee is dead, or has absconded, or is a fictitious person or a person not
having capacity to contract by bill.
 
(b) Where, after the exercise of reasonable diligence, presentment can not be made.
 
(c) Where, although presentment has been irregular, acceptance has been refused on some
other ground.

Sec. 148. When presentation is excused. - Filings for acceptance are excluded and invoices can
be treated as dishonorable as they cannot be accepted in one of the following cases:
chanroblesvirtuallawlibrary
(a) If the drawn party dies, has fled or is a fictional person or person unable to enter into the
account contract.

(b) If, after careful examination, no service can be provided.

(c) Was the reception rejected for other reasons even though the presentation was irregular?

Sec. 149. When dishonored by nonacceptance. - A bill is dishonored by non-acceptance:

(a) When it is duly presented for acceptance and such an acceptance as is prescribed by this
Act is refused or can not be obtained; or
 
(b) When presentment for acceptance is excused and the bill is not accepted.
Sec. 149. In case dishonored because it is not accepted. - The account is embarrassed for not
receiving it:
(a) If properly submitted for acceptance and acceptance determined by this Law, it will be
rejected or cannot be obtained; or
(b) If the request for acceptance is excluded and the account is not accepted.
Sec. 150. Duty of holder where bill not accepted. - Where a bill is duly presented for
acceptance and is not accepted within the prescribed time, the person presenting it must
treat the bill as dishonored by nonacceptance or he loses the right of recourse against the
drawer and indorsers.
Sec. 150. Obligations of the account holder if no accounts are accepted. - If an invoice is
properly submitted for receipt and is not received within the time limit, the person who sent it
must consider the invoice ashamed of not being accepted, or they will lose the right to claim
compensation against the drawer and the entitee.

Sec. 151. Rights of holder where bill not accepted. - When a bill is dishonored by
nonacceptance, an immediate right of recourse against the drawer and indorsers accrues to
the holder and no presentment for payment is necessary.
Sec. 151. Rights of the holder if the bill is not adopted. - If an account is not honored because it
is unacceptable, the holder is immediately entitled to call for help to drawers and depositors,
and no payment is required.
XII. PROTEST
Sec. 152. In what cases protest necessary. - Where a foreign bill appearing on its face to be
such is dishonored by nonacceptance, it must be duly protested for nonacceptance, by
nonacceptance is dishonored and where such a bill which has not previously been dishonored
by nonpayment, it must be duly protested for nonpayment. If it is not so protested, the
drawer and indorsers are discharged. Where a bill does not appear on its face to be a foreign
bill, protest thereof in case of dishonor is unnecessary.

 Sec. 152. In what cases is protest necessary? - If a foreign account that looks like that on his
face is not respected by the non-acceptance, a proper protest should be made against the non-
acceptance, the non-acceptance that is not respected and if the account has not previously
been insulted by the non-payment, appropriate protest non-payment must be made. If there is
no protest, the drawer and Inders will be emptied. If the bill doesn't seem strange to the
person, there's no need to protest it in case of dishonesty.

Sec. 153. Protest; how made. - The protest must be annexed to the bill or must contain a copy
thereof, and must be under the hand and seal of the notary making it and must
specify:chanroblesvirtuallawlibrary
(a) The time and place of presentment;
 
(b) The fact that presentment was made and the manner thereof;
 
(c) The cause or reason for protesting the bill;
 
(d) The demand made and the answer given, if any, or the fact that the drawee or acceptor
could not be found.
Sec. 153. Protests; how it is made. - Protests must be attached to the bill or contain a copy. It
must be under the hand and seal of the notary who made it and must show the following:
chanroblesvirtuallawlibrary
(a) time and place of performance;

(b) the fact that the presentation was made and how it was made;

(c) reasons or reasons for protesting the bill;

(d) Questions and, if applicable, responses, or the fact that the drawer or acceptor could not be
found.

Sec. 154. Protest, by whom made. - Protest may be made by:chanroblesvirtuallawlibrary

(a) A notary public; or
 
(b) By any respectable resident of the place where the bill is dishonored, in the presence of
two or more credible witnesses.
Sec. 154. Protests by whom it was made. - Protests can be submitted by:
chanroblesvirtuallawlibrary
a) a notary; or
(b) By any respected resident of the place where the account is not honored, in the presence of
two or more credible witnesses.
Sec. 155. Protest; when to be made. - When a bill is protested, such protest must be made on
the day of its dishonor unless delay is excused as herein provided. When a bill has been duly
noted, the protest may be subsequently extended as of the date of the noting.
Sec 155. Protests; when to do it. - If a protest is protested, it must take place on the day of his
desecration, unless the delay is excused as provided herein. If the bill is properly recorded, the
protests can then be extended to the anniversary date.
 
Sec. 156. Protest; where made. - A bill must be protested at the place where it is dishonored,
except that when a bill drawn payable at the place of business or residence of some person
other than the drawee has been dishonored by nonacceptance, it must be protested for non-
payment at the place where it is expressed to be payable, and no further presentment for
payment to, or demand on, the drawee is necessary.
Sec. 156. Protests; where it's done. - The account must be protested in a place where it is not
honored, with the exception that the account withdrawn must be paid for at the place of
business or residence of another person who is not the person being paid will be insulted for
not accepting a protest for not paying where indicated it must be paid and not there are further
submissions for payment or requests required along the way.
 
Sec. 157. Protest both for non-acceptance and non-payment. - A bill which has been
protested for non-acceptance may be subsequently protested for non-payment.
Sec. 157. Protests against non-acceptance and non-payment. - Accounts that have been
protested for being unacceptable can later be protested for not being paid.
 
Sec. 158. Protest before maturity where acceptor insolvent. - Where the acceptor has been
adjudged a bankrupt or an insolvent or has made an assignment for the benefit of creditors
before the bill matures, the holder may cause the bill to be protested for better security
against the drawer and indorsers. robles virtual law library
Sec. 158. Protest before the due date if the acceptor goes bankrupt. - If the acceptor has been
declared bankrupt or bankrupt before the account matures or has made a transfer for the
benefit of the creditor, the account holder may cause the account to protest better security
against drawers and indors. virtual law library.

Sec. 159. When protest dispensed with. - Protest is dispensed with by any circumstances
which would dispense with notice of dishonor. Delay in noting or protesting is excused when
delay is caused by circumstances beyond the control of the holder and not imputable to his
default, misconduct, or negligence. When the cause of delay ceases to operate, the bill must
be noted or protested with reasonable diligence.

Sec. 159. If there is no protest. - Protests are excluded from all circumstances which would give
rise to a statement of disrespect. Delays in detection or protest are forgiven if such delays are
caused by circumstances beyond the control of the holders and not because of their non-
compliance, error or negligence. If the reason for the postponement is no longer valid,
recording the bill or protest must be done carefully.

Sec. 160. Protest where bill is lost and so forth. - When a bill is lost or destroyed or is wrongly
detained from the person entitled to hold it, protest may be made on a copy or written
particulars thereof.
Sec. 160. Protests in case of lost account, etc. - If an account is lost, destroyed or improperly
stored by the person authorized to keep it, a written copy or record may be challenged.
XIII. ACCEPTANCE FOR HONOR

Sec. 161. When bill may be accepted for honor. - When a bill of exchange has been protested
for dishonor by non-acceptance or protested for better security and is not overdue, any
person not being a party already liable thereon may, with the consent of the holder,
intervene and accept the bill supra protest for the honor of any party liable thereon or for the
honor of the person for whose account the bill is drawn. The acceptance for honor may be for
part only of the sum for which the bill is drawn; and where there has been an acceptance for
honor for one party, there may be a further acceptance by a different person for the honor of
another party.
Sec. 161. If the bill can be received as an honor. - If a bill of exchange has been protested for
defamation for defamation or protests for better security and is timeless, anyone who has not
been responsible for it can, with the consent of the holder, intervene and accept the bill in
return for honor responsible party or for the honor of the person whose name the invoice is
made. Receipt of honorarium can only be made for a portion of the total invoice made; and if
there has been an acceptance of honor for one party, the other person may also receive the
honor of the other.

Sec. 162. Acceptance for honor; how made. - An acceptance for honor supra protest must be
in writing and indicate that it is an acceptance for honor and must be signed by the acceptor
for honor. 

 162. Acceptance of honor; how it is made. - Acceptance of honor by protest must be in writing
and show that it is an acceptance of honor and must be signed by the recipient of the honor. V

Sec. 163. When deemed to be an acceptance for honor of the drawer. - Where an acceptance
for honor does not expressly state for whose honor it is made, it is deemed to be an
acceptance for the honor of the drawer.
Sec. 163. Considered a drawer reception. - If the honorary reception does not expressly state
for whom the honor was made, it is considered the honor reception of the servant.
 
Sec. 164. Liability of the acceptor for honor. - The acceptor for honor is liable to the holder
and to all parties to the bill subsequent to the party for whose honor he has accepted.

Sec. 164. The acceptor's obligation to honor. - The honorary recipient is responsible to the
owner and all parties in the bill according to the party whose honor he has received.

Sec. 165. Agreement of acceptor for honor. - The acceptor for honor, by such acceptance,
engages that he will, on due presentment, pay the bill according to the terms of his
acceptance provided it shall not have been paid by the drawee and provided also that is shall
have been duly presented for payment and protested for non-payment and notice of
dishonor given to him.

 Section 165. Honor acceptance agreement. - By accepting this, the Guest of Honor promises to
pay the bill when properly presented in accordance with the terms of acceptance, provided it
has not been paid for in transit and properly submitted for payment and protest, is not paid and
has been notified of shame.
Sec. 166. Maturity of bill payable after sight; accepted for honor. - Where a bill payable after
sight is accepted for honor, its maturity is calculated from the date of the noting for non-
acceptance and not from the date of the acceptance for honor.
Sec. 166. Account maturity must be paid after visibility; received as an honor. - If the invoice
for payment appears to be deemed honorary, the due date will be calculated from the token
non-receipt date rather than the honor receipt date.
 
Sec. 167. Protest of bill accepted for honor, and so forth. - Where a dishonored bill has been
accepted for honor supra protest or contains a referee in case of need, it must be protested
for non-payment before it is presented for payment to the acceptor for honor or referee in
case of need.

 Section 167. Protests against the bill of honor, etc. - If an account that is not honored is
accepted as an honor for protest or if necessary contains a judge, it should be protested for not
being paid before being awarded for payment to the honorary recipient or, if necessary,
becoming a judge.

Sec. 168. Presentment for payment to acceptor for honor, how made. - Presentment for
payment to the acceptor for honor must be made as follows:
(a) If it is to be presented in the place where the protest for non-payment was made, it must
be presented not later than the day following its maturity.
 
(b) If it is to be presented in some other place than the place where it was protested, then it
must be forwarded within the time specified in Section one hundred and four.
Sec. 168. Presentation for honor acceptor payment, how it is done. - The presentation of
payment to acceptor should be made as follows:
(a) If it is to be presented at a place where a protest against non-payment is made, it must be
submitted no later than a day after the due date.

(b) If it is to be served at a location other than the place where it is protested, it must be
delivered within the time limit specified in Section one hundred and four.
Sec. 169. When delay in making presentment is excused. - The provisions of Section eighty-
one apply where there is delay in making presentment to the acceptor for honor or referee in
case of need.
 Section 169. If delaying the presentation is excused. - The provisions of article eighty-one apply
if the presentation to the host or referee is postponed if necessary.

Sec. 170. Dishonor of bill by acceptor for honor. - When the bill is dishonored by the acceptor
for honor, it must be protested for non-payment by him.

Section 170. Defamation of the Bill by the honor acceptor. - If the account is not respected by
the recipient of the award, a protest should be made against it for not being paid.

XIV. PAYMENT FOR HONOR

Sec. 171. Who may make payment for honor. - Where a bill has been protested for non-
payment, any person may intervene and pay it supra protest for the honor of any person
liable thereon or for the honor of the person for whose account it was drawn.

Sec. 171. Who can pay for honor? - If an account is protested for not being paid, anyone can
intervene and pay it through protest in honor of whoever was responsible for it or for the
honor of the person whose account was withdrawn.
Sec. 172. Payment for honor; how made. - The payment for honor supra protest, in order to
operate as such and not as a mere voluntary payment, must be attested by a notarial act of
honor which may be appended to the protest or form an extension to it.
Sec. 172. Payment of honor; how it is made. - Payment for the honor of the protest, for acting
as such and not merely as a voluntary payment, must be confirmed by a notary honor deed,
which can be attached to the protest or its continuation.
 
Sec. 173. Declaration before payment for honor. - The notarial act of honor must be founded
on a declaration made by the payer for honor or by his agent in that behalf declaring his
intention to pay the bill for honor and for whose honor he pays.

Sec. 173. Declaration before payment of honor. - The notary's honor certificate must be based
on the statement of the honor payer or his representative on that name, in which he states his
intention to pay the certificate of honor and for which honor he pays.

Sec. 174. Preference of parties offering to pay for honor. - Where two or more persons offer
to pay a bill for the honor of different parties, the person whose payment will discharge most
parties to the bill is to be given the preference.
 
Sec. 174. The preference of the parties offering to pay honor. - If two or more people offer to
pay an invoice in honor of different parties, the person whose payment releases the majority of
the party in the account must accept preference.

Sec. 175. Effect on subsequent parties where bill is paid for honor. - Where a bill has been
paid for honor, all parties subsequent to the party for whose honor it is paid are discharged
but the payer for honor is subrogated for, and succeeds to, both the rights and duties of the
holder as regards the party for whose honor he pays and all parties liable to the latter.

Sec. 175. Impact on the subsequent parties who receive payment of the bill for the honorarium.
- When the honorarium bill has been paid, all parties after the party whose fee is paid will be
released, but the payer fee will be released and fulfill both the rights and obligations of the
holder with respect to the party whose honor he received. pay and all parties are responsible
for the latter.

Sec. 176. Where holder refuses to receive payment supra protest. - Where the holder of a bill
refuses to receive payment supra protest, he loses his right of recourse against any party who
would have been discharged by such payment.

 Sec. 176. If the holder refuses to pay by protest. - If the account holder refuses to accept the
overprotest payment, they will lose the right to ask for help from the party who will be
exempted from the payment.

Sec. 177. Rights of payer for honor. - The payer for honor, on paying to the holder the amount
of the bill and the notarial expenses incidental to its dishonor, is entitled to receive both the
bill itself and the protest.
Sec. 177. Honor payer’s rights - After payment of the bill amount and notary's fees due to their
dishonesty, honor payers are entitled to accept the bill themselves and protest.
XV. BILLS IN SET

Sec. 178. Bills in set constitute one bill. - Where a bill is drawn in a set, each part of the set
being numbered and containing a reference to the other parts, the whole of the parts
constitutes one bill.
Sec. 178. Bills in one set represent invoices - When bills are drawn in a set, with each part of the
set numbered and containing references to other parts, the entire portion represents the
account.
Sec. 179. Right of holders where different parts are negotiated. - Where two or more parts of
a set are negotiated to different holders in due course, the holder whose title first accrues is,
as between such holders, the true owner of the bill.  But nothing in this section affects the
right of a person who, in due course, accepts or pays the parts first presented to him.

 Sec. 179. Right of ownership if different parts are agreed. - If two or more parts of a set are
agreed upon with different holders at a convenient time, the holder whose title comes first will
become the true owner of the account among these holders. However, nothing in this section
affects the rights of any person who, over time, receives or pays for the portion that was first
presented to him or her.

Sec. 180. Liability of holder who indorses two or more parts of a set to different persons. -
Where the holder of a set indorses two or more parts to different persons he is liable on
every such part, and every indorser subsequent to him is liable on the part he has himself
indorsed, as if such parts were separate bills.

Sec. 180. The obligation of the owner who develops two or more parts of a set to different
people. - If the owner of the set assigns two or more parts to different people, he is responsible
for each of those parts, and each person in charge subsequently is responsible for the part he
imposes on himself as if the parts were separate accounts.

Sec. 181. Acceptance of bill drawn in sets. - The acceptance may be written on any part and it
must be written on one part only. If the drawee accepts more than one part and such
accepted parts negotiated to different holders in due course, he is liable on every such part as
if it were a separate bill.
Sec. 181. Receipt of an invoice drawn in a sentence. - Receipts can be written in any part and
can only be written in one part. If the drawn party receives more than one share and the
portions received are approved by the different owners in a timely manner, he is responsible
for each of these shares as if they were separate accounts.

 
Sec. 182. Payment by acceptor of bills drawn in sets. - When the acceptor of a bill drawn in a
set pays it without requiring the part bearing his acceptance to be delivered up to him, and
the part at maturity is outstanding in the hands of a holder in due course, he is liable to the
holder thereon.
Sec.182. Invoice payment is withdrawn in sets by the acceptor. - If the acceptor pays the
banknotes made in a set without having to hand over the portion containing the receipt to him
and part of the period is in the hands of the holder, he is responsible for this to the holder.
 
Sec. 183. Effect of discharging one of a set. - Except as herein otherwise provided, where any
one part of a bill drawn in a set is discharged by payment or otherwise, the whole bill is
discharged.
Section 183. Effects of Throwing Out One of the set. - Unless otherwise stated herein, the entire
invoice will be dispatched if any part of the invoice made in a set is made easy by payment or
vice versa.

XVI. PROMISSORY NOTES AND CHECKS

Sec. 184. Promissory note, defined. - A negotiable promissory note within the meaning of this
Act is an unconditional promise in writing made by one person to another, signed by the
maker, engaging to pay on demand, or at a fixed or determinable future time, a sum certain
in money to order or to bearer. Where a note is drawn to the maker's own order, it is not
complete until indorsed by him.
Sec. 184. Order records, specified. - A contractual promissory note in the meaning of this law is
an unconditional written promise by one person to another, signed by the manufacturer and
promising to pay an amount in cash upon request or at a specific or determinable future time
to the carrier. If a record is created from a manufacturer's order, that record is incomplete until
it is canceled by the manufacturer.
 
Sec. 185. Check, defined. - A check is a bill of exchange drawn on a bank payable on demand.
Except as herein otherwise provided, the provisions of this Act applicable to a bill of exchange
payable on demand apply to a check.
Sec. 185. Review Defined. - Checks are bills of exchange created at the bank and paid on
request. Unless otherwise stated herein, checks will be governed by the provisions of this Act
which apply to bills of exchange which are payable on request.
 
Sec. 186. Within what time a check must be presented. - A check must be presented for
payment within a reasonable time after its issue or the drawer will be discharged from
liability thereon to the extent of the loss caused by the delay.
Sec.186. Within what timeframe the check must be submitted. - Checks must be presented for
payment within a reasonable time after issuance. Otherwise, the drawer will be released from
responsibility up to the amount of loss caused by delay.
 
Sec. 187. Certification of check; effect of. - Where a check is certified by the bank on which it
is drawn, the certification is equivalent to an acceptance.
Sec. 187. Certification check; Effect from. - If the check is notarized by the bank where it was
made, the certificate is deemed received
 
Sec. 188. Effect where the holder of check procures it to be certified. - Where the holder of a
check procures it to be accepted or certified, the drawer and all indorsers are discharged from
liability thereon.

 Sec.188. Effects of check holder on certification orders. - If the check holder agrees to be
accepted or certified, the drawer and all loading and unloading devices must be removed from
it.
Sec. 189. When check operates as an assignment. - A check of itself does not operate as an
assignment of any part of the funds to the credit of the drawer with the bank, and the bank is
not liable to the holder unless and until it accepts or certifies the check.
Section 189. If a check serves as an assignment. - The check itself does not function as a partial
transfer of money from the loan drawer to the bank, and the bank has no obligation to the
holder unless and until receiving or confirming the check.
XVII. GENERAL PROVISIONS

Sec. 190. Short title. - This Act shall be known as the Negotiable Instruments Law.
Section 190. Short title. - This law is known as the Negotiable Instruments Law.
Sec. 191. Definition and meaning of terms. - In this Act, unless the contract otherwise
requires:
"Acceptance" means an acceptance completed by delivery or notification;
 
"Action" includes counterclaim and set-off;
 
"Bank" includes any person or association of persons carrying on the business of banking,
whether incorporated or not;
 
"Bearer" means the person in possession of a bill or note which is payable to bearer;
 
"Bill" means bill of exchange, and "note" means negotiable promissory note;
 
"Delivery" means transfer of possession, actual or constructive, from one person to another;
 
"Holder" means the payee or indorsee of a bill or note who is in possession of it, or the
bearer thereof;
 
"Indorsement" means an indorsement completed by delivery;
 
"Instrument" means negotiable instrument;
 
"Issue" means the first delivery of the instrument, complete in form, to a person who takes it
as a holder;
 
"Person" includes a body of persons, whether incorporated or not;
 
"Value" means valuable consideration;
 
"Written" includes printed, and "writing" includes print.
Sec. 191. Definitions and meanings of terms. - In this law, unless the contract specifies
otherwise:
"Receipt" means an acceptance that is completed by delivery or notification;

"Action" includes counterclaim and set-off;

"Bank" includes any person or entity that operates banking, whether registered or not;

"Holder" means a person who, as a result of the holder, owns banknotes or banknotes;

"Bill" means note and "Banknote" means negotiated promissory note;

"Delivery" means the actual or constructive transfer of ownership from one person to another;
"Holder" means the recipient or debtor of banknotes or the holder of banknotes holding it or
the holder;

"Withdrawal" means a refusal that is resolved after delivery;

"Instrument" means a negotiated instrument;

"Problem" means the first delivery of an Instrument in full to the person receiving it as holder;

"Person" includes a group of people, whether embedded or not;

"Value" means a valuable interest;

"Writing" includes printing and "writing" includes printing.

Sec. 192. Persons primarily liable on instrument. - The person "primarily" liable on an

instrument is the person who, by the terms of the instrument, is absolutely required to pay
the same. All other parties are "secondarily" liable.

 Sec.192. People who are largely responsible on the basis of an instrument. - The person who is
"primarily" responsible for an instrument is the person who is absolutely obliged to pay the
same under the terms of the instrument. All other parties have "secondary" responsibilities.

Sec. 193. Reasonable time, what constitutes. - In determining what is a "reasonable

time" regard is to be had to the nature of the instrument, the usage of trade or business with
respect to such instruments, and the facts of the particular case.
Sec. 193. Exactly what time it represents. - In determining what constitutes a "reasonable
time", the account must take into account the nature of the instrument, the trading uses or
transactions in relation to the instrument, and the circumstances thereof.
 
Sec. 194. Time, how computed; when last day falls on holiday. - Where the day, or the last
day for doing any act herein required or permitted to be done falls on a Sunday or on a
holiday, the act may be done on the next succeeding secular or business day.
Sec. 194. Time counted; when the last day falls on a holiday. - If the day or the last day of
execution of an action that should or may fall on a Sunday or national holiday, then the action
may be carried out on the following secular or working day.
 
Sec. 195. Application of Act. - The provisions of this Act do not apply to negotiable
instruments made and delivered prior to the taking effect hereof. 
195. Application of law. - The provisions of this Law do not apply to contract instruments that
were produced and shipped before this Law came into effect. Variable law
 
Sec. 196. Cases not provided for in Act. - Any case not provided for in this Act shall be
governed by the provisions of existing legislation or in default thereof, by the rules of the law
merchant.
Section 196. Cases not regulated in law. - Any case not regulated in this statute is subject to the
provisions of the existing statute, or non-compliance with the provisions of the merchant's law.
Sec. 197. Repeals. - All acts and laws and parts thereof inconsistent with this Act are hereby
repealed.
Section 197 Cancellation. - All acts and laws, as well as their parts, which are not in accordance
with this law are repealed.

Sec. 198. Time when Act takes effect. - This Act shall take effect ninety days after its
publication in the Official Gazette of the Philippine Islands shall have been completed.
Section 198. The date of entry into force of the law. - This law shall enter into force ninety days
after its publication in the Official Gazette of the Philippines.