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of <h1>Section 36: Prior Parties Liable to Holder in Due Course Until Negotiable Instrument is Satisfied</h1> Every prior party to a negotiable instrument is liable to a holder in due course until the instrument is duly satisfied, as per Section 36 of the Negotiable Instruments Act, 1881. This provision ensures that all parties involved in the creation or endorsement of negotiable instruments such as notes, bills, and cheques remain accountable to the holder in due course until the financial obligation is fulfilled.
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