धारा 47

According to Section 47 of the Negotiable Instruments Act, 1881, an acceptance after the due date of a bill of exchange is equivalent to a dishonour of the bill. The section states that 'an acceptance after the due date of a bill of exchange is equivalent to a dishonour of the bill'. The section further explains that the holder of the bill is not bound to take notice of an acceptance after the due date. The Supreme Court has held in 'State Bank of India vs. M/s. M.M. Industries' (1995) that an acceptance after the due date is not valid and the holder of the bill is not bound to take notice of it.