Statute Details
- Title: Revised Edition of the Laws (Bills of Exchange Act) (Rectification) Order 2010
- Act Code: RELA1983-S30-2010
- Type: Subsidiary Legislation (SL)
- Enacting Formula / Authority: Made by the Law Revision Commissioners under section 23(1) of the Revised Edition of the Laws Act
- Citation: “Revised Edition of the Laws (Bills of Exchange Act) (Rectification) Order 2010”
- Key Provision(s): Section 2 (Rectification of error)
- Primary Amendment Target: Bills of Exchange Act (Cap. 23) — specifically section 76 in the 1999 Edition and 2004 Edition
- Date Made: 20 January 2010
- Commencement: Not stated in the extract (practitioners should confirm in the official instrument/timeline)
- Status: Current version as at 27 Mar 2026 (per the legislation portal)
What Is This Legislation About?
The Revised Edition of the Laws (Bills of Exchange Act) (Rectification) Order 2010 is a legislative “rectification” instrument. In plain terms, it corrects an error that appears in the text of the Bills of Exchange Act as it was reproduced in certain revised editions of the Singapore Laws. Rather than changing the substantive law through policy, the Order is designed to ensure that the statutory wording is accurate and consistent.
The Order specifically amends section 76 of the Bills of Exchange Act (Cap. 23) as it appears in the 1999 Edition and the 2004 Edition. Section 76 deals with the legal effect of a “crossing” on a cheque—an important concept in cheque law because it affects how the cheque may be negotiated and processed through banks.
For practitioners, the practical significance is that the corrected wording clarifies when particular markings on the face of a cheque amount to a crossing, and whether the crossing is treated as general. The rectification therefore matters for disputes about cheque validity, bank handling, and the legal consequences of particular endorsements or additions written across a cheque.
What Are the Key Provisions?
Section 1 (Citation) provides the short title of the Order. This is standard drafting: it tells lawyers and courts how to refer to the instrument.
Section 2 (Rectification of error) is the operative provision. It directs that, in section 76 of the Bills of Exchange Act in the specified editions, subsection (1) is to be deleted and replaced with a new subsection (1). The replacement text is carefully drafted to address a specific scenario: where a cheque bears across its face an “addition” of certain words or lines.
The corrected subsection (1) states, in substance, that where a cheque bears across its face an addition of either:
- (a) the words “and company” (or any abbreviation thereof) between two parallel transverse lines, with or without the words “not negotiable”; or
- (b) two parallel transverse lines simply, with or without the words “not negotiable”;
then that addition constitutes a crossing, and the cheque is crossed generally.
This is a legal “trigger” rule. It tells practitioners that certain markings across the face of a cheque are not merely decorative or informal; they have a defined legal character. The phrase “constitutes a crossing” links the physical marking to the statutory legal regime governing crossed cheques. The further statement that the cheque is “crossed generally” is crucial because general crossing and special crossing have different legal effects under cheque law (including, in many contexts, how payment is to be made and the role of collecting banks).
Although the extract does not reproduce the entirety of section 76, the rectification’s focus indicates that the intended meaning is to ensure that the statutory text properly captures the effect of two parallel transverse lines and the “and company” wording (or its abbreviation) when placed between such lines. The inclusion of “with or without the words ‘not negotiable’” is also significant: it confirms that the presence or absence of the “not negotiable” legend does not prevent the marking from being treated as a crossing under subsection (1). In other words, “not negotiable” may affect negotiability, but it does not negate the crossing classification.
From a litigation and advisory perspective, this rectification can be relevant in cases where parties dispute whether a cheque was properly crossed, whether a bank was entitled (or required) to handle it in a particular way, and whether the statutory consequences of crossing apply. Even where the underlying commercial practice is familiar, the legal classification depends on statutory wording—hence the importance of correcting errors in the published text.
How Is This Legislation Structured?
The Order is extremely brief and consists of two sections:
- Section 1 (Citation): establishes the short title.
- Section 2 (Rectification of error): specifies the exact textual correction to be made to section 76 of the Bills of Exchange Act in the 1999 Edition and 2004 Edition.
There are no schedules, no separate parts, and no additional procedural provisions in the extract. The instrument is therefore best understood as a targeted amendment order rather than a comprehensive reform statute.
Who Does This Legislation Apply To?
This Order applies to the extent it amends the Bills of Exchange Act as it appears in the specified revised editions. While the Order itself is directed at the text of the law, its practical reach extends to anyone whose rights or obligations depend on the statutory rules for cheque crossings—most notably:
- Banks and payment institutions that process cheques and must determine how to treat crossed cheques;
- Cheque drawers and payees who mark cheques and may be affected by the legal consequences of those markings;
- Parties in commercial disputes involving payment, negotiability, and the legal effect of cheque markings.
Because the rectification concerns the classification of a crossing as “general,” it may be relevant in disputes about whether a cheque was crossed in a manner that triggers the general crossing rules. The Order does not create new categories of persons; instead, it ensures that the statutory text governing cheque markings is correct and enforceable.
Why Is This Legislation Important?
Although the Order is narrow, it is important because cheque crossing rules are technical and can have significant legal consequences. In practice, cheques are often used in contexts where parties rely on established banking procedures. However, when a cheque is lost, dishonoured, misdirected, or fraudulently handled, the legal classification of the cheque’s markings can become central to determining liability and the validity of payment or negotiation.
The rectification’s focus on two parallel transverse lines and the “and company” wording (or abbreviation) addresses a common form of cheque crossing. By confirming that these additions constitute a crossing and that the cheque is crossed generally, the corrected text reduces ambiguity. For practitioners, reducing ambiguity is not merely academic: it helps align legal interpretation with commercial expectations and with how banks typically treat crossed cheques.
From an enforcement and compliance standpoint, the Order also underscores the importance of accurate statutory text. The Law Revision Commissioners’ power under the Revised Edition of the Laws Act exists to correct errors in the published revised editions. Even if the substantive intent of the law is stable, errors in the printed or consolidated versions can lead to misinterpretation. Rectification instruments like this one help ensure that courts and practitioners apply the correct wording.
Finally, the “with or without ‘not negotiable’” language is practically meaningful. Many cheques bear “not negotiable” legends. The rectification clarifies that such a legend does not prevent the marking from being treated as a crossing under the specified conditions. This can matter in disputes about whether the cheque’s negotiability is restricted while still being crossed, and how banks should process such instruments.
Related Legislation
- Bills of Exchange Act (Cap. 23) — particularly section 76 (crossing of cheques)
- Revised Edition of the Laws Act — particularly section 23 (powers of the Law Revision Commissioners to rectify errors)
Source Documents
This article provides an overview of the Revised Edition of the Laws (Bills of Exchange Act) (Rectification) Order 2010 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.