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Trading Terms

Qualified acceptance

Acceptance of a bill of exchange can take on various forms, each with their own unique conditions and implications. A conditional acceptance is one where payment is dependent on the fulfilment of a condition. A partial acceptance only covers a portion of the total amount. A local acceptance specifies a particular place for payment. A qualified acceptance as to time means the bill is drawn for a longer period than the accepted payment time. If the holder does not receive an unqualified acceptance, they can consider the bill dishonoured.
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