BILLS OF EXCHANGE ACT - 1961 (ACT 55)

Section - 52 - Liability of Acceptor

The acceptor of a bill by accepting it-

(a) engages that he will pay it according to the tenor of his acceptance;

(b) is precluded from denying to a holder in due course-

(i) the existence of the drawer, the genuineness of his signature, and his capacity and authority to draw the bill;

(ii) in the case of a bill payable to drawer's order the then capacity of the drawer to endorse, but not the genuineness or validity of his endorsement;

(iii) in the case of a bill payable to the order of a third person, the existence of the payee and his then capacity to endorse, but not the genuineness or validity of his endorsement.