Q.Explain briefly the procedure of calculating the date of maturity of a bill of exchange. Give an example.

Add three days of grace to the date the bill's term expires; adjust for public and emergency holidays.

The date of maturity is calculated by adding three days of grace to the date on which the term of the bill actually expires:

1. Find the date on which the bill's period ends (counting months from the date of the bill, or days after date).
2. Add three days of grace to get the date of maturity.
3. If the maturity date is a public holiday, the bill falls due on the preceding business day.
4. If an emergency holiday is declared under the Act on the maturity date, the bill falls due on the next working day.

Example: a bill dated March 5 payable one month after date — the term ends on April 5; adding three days of grace, the date of maturity is April 8. If April 8 is a public holiday, it matures on April 7; if April 8 is declared an emergency holiday, it matures on April 9.