Right to charge other parties may be expressly reserved with acceptor, preserving liability despite discharge-causing contracts. When the holder of an accepted bill of exchange enters into a contract with the acceptor that would discharge the other parties, the holder may expressly reserve his right to charge the other parties, and if he does so they are not discharged and remain liable.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Right to charge other parties may be expressly reserved with acceptor, preserving liability despite discharge-causing contracts.
When the holder of an accepted bill of exchange enters into a contract with the acceptor that would discharge the other parties, the holder may expressly reserve his right to charge the other parties, and if he does so they are not discharged and remain liable.
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