Marginal note:Binding on Her Majesty

3. This Act is binding on Her Majesty in right of Canada or a province.

Marginal note:Depository bill

4. A depository bill is an unconditional order in writing that is

• (a) signed by the drawer and addressed to another person, requiring the person to whom it is addressed to pay, at a fixed or determinable future time, a sum certain in money to, or to the order of, a specified person;

• (b) accepted unconditionally by the signature of the person to whom it is addressed;

• (c) marked prominently and legibly on its face and within its text, at or before the time of issue, with the words "This is a depository bill subject to the Depository Bills and Notes Act" or "Lettre de dépôt assujettie à la Loi sur les lettres et billets de dépôt";

• (d) not marked with any words prohibiting negotiation, transfer or assignment of it or of an interest in it;

• (e) made payable, originally or by endorsement, to a clearing house; and

• (f) deposited with the clearing house to which it is made payable.

Marginal note:Depository note

5. A depository note is an unconditional promise in writing that is

• (a) signed by the maker, promising to pay, at a fixed or determinable future time, a sum certain in money to, or to the order of, a specified person;

• (b) marked prominently and legibly on its face and within its text, at or before the time of issue, with the words "This is a depository note subject to the Depository Bills and Notes Act" or "Billet de dépôt assujetti à la Loi sur les lettres et billets de dépôt";

• (c) not marked with any words prohibiting negotiation, transfer or assignment of it or of an interest in it;

• (d) made payable, originally or by endorsement, to a clearing house; and

• (e) deposited with the clearing house to which it is made payable.

Marginal note:Payment from assets of partnership, etc.

5.1 For the purposes of sections 4 and 5, an order or a promise to pay is not conditional by reason only that it is limited to payment from the assets of a partnership, unincorporated association, trust or estate.

Marginal note:Non-application of Bills of Exchange Act

6. The Bills of Exchange Act does not apply in respect of depository bills and notes.

Marginal note:Signature presumed valid

7. In the absence of evidence to the contrary, a signature on a depository bill or note is presumed to be genuine and authorized.