NI Act Section 9: ''Holder in due course''
Negotiable Instruments Act, 1881 · Chapter 2: Of notes, bills and cheques
Also available in: हिंदी
¶"Holder in due course" means any person who for consideration became the possessor of a promissory note, bill of exchange or cheque if payable to bearer,
¶or the payee or indorsee thereof, if [payable to order,]
¶before the amount mentioned in it became payable, and without having sufficient cause to believe that any defect existed in the title of the person from whom he derived his title.
Official reference: India Code, Government of India — official section HTML — source review: 5 October 2026.Recorded edition / snapshot date: 2026-10-05.Banaka reference transcription of the official HTML snapshot; not an official or certified edition. Source wording and amendment brackets are retained; layout and footnote callouts are omitted. The recorded date is the review snapshot, not a separately dated consolidation. Hindi guides are original explanations. Read the source amendment notes and current judicial interpretation alongside the text. The historical schedule and section 2 are repealed.Read the original schedule and amendment notes
This text is for reference, not legal advice. Consult the official source for the authoritative text.
Other sections in this chapter
- 4. ''Promissory note''
- 5. ''Bill of exchange''
- 6. ''Cheque''
- 7. ''Drawer.''
- 8. ''Holder''
- 10. ''Payment in due course''
- 11. Inland instrument
- 12. Foreign instrument
- 13. ''Negotiable instrument''
- 14. Negotiation
- 15. Indorsement
- 16. Indorsement ''in blank'' and ''in full''
- 17. Ambiguous instruments
- 18. Where amount is stated differently in figures and words
- 19. Instruments payable on demand
- 20. Inchoate stamped instruments
- 21. ''At sight''
- 22. ''Maturity''
- 23. Calculating maturity of bill or note payable so many months after date or sight
- 24. Calculating maturity of bill or note payable so many days after date or sight
- 25. When day of maturity is a holiday