Question 77. - Bank A presents draft for acceptance to drawee who after holding for some time refuses either to accept or to give up the bill. Bank A notifies forwarding bank B to this effect and asks permission to write off their books. Bank B refuses this request and instructs bank A to take the necessary legal proceedings to obtain possession of the hill. What action should bank A take?

Answer. - If bank A notified the forwarding bank of the non-acceptance of the draft immediately upon the expiry of the period of forty-eight hours after its presentation and, later, of it- inability to recover the item, it has discharged its duty and is not bound to take legal action of any sort at the forwarding bank's behest, hut might, of course, do so if it chose.