UAE Commercial Transactions Law

Article 544 — Article (544)

Book Four: Commercial Papers · Part One: Bill of Exchange · Chapter Three: Consideration for Payment of the Bill of Exchange: Article (542)

1. The acceptance of a bill of exchange shall be considered a presumption that the consideration required for payment is available with the acceptor. This presumption shall not be challenged as to the relationship between drawee and bearer. 2. In case of denial, only the drawer shall be bound to prove, irrespective of whether the bill of exchange was accepted or not, that the drawee had the consideration for payment on the maturity date. If he fails to do so, he shall guarantee the payment, even if he had protested after the time limit prescribed by the law. In case the drawer proves that the consideration is available and continues to be available until the date on which the protest was supposed to have been made, he shall be relieved from liability to the extent of such consideration, save where it had been used in his interest.

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