Skip to content

Section 58

Transferor by delivery and transferee

of Bills of Exchange Act 1949

ActIn forceProvision 58 of 107
Section 58
(1)

Where the holder of a bill payable to bearer negotiates it by delivery without indorsing it, he is called a “transferor by delivery”.

(2)

A transferor by delivery is not liable on the instrument.

(3)

A transferor by delivery who negotiates a bill thereby warrants to his immediate transferee being a holder for value that the bill is what it purports to be, that he has a right to transfer it, and that at the time of transfer he is not aware of any fact which renders it valueless.

40 Laws of Malaysia ACT 204

Discharge of Bill