44. Bills of exchange.

44.     Bills of exchange.

A partner in a trading firm has implied authority1 to draw, accept and indorse bills of exchange and other negotiable instruments on behalf of his firm in the ordinary course of its business2, but not otherwise3; and the firm is liable even if the transaction is fraudulent and unauthorised, if the holder has no notice of such fraud4. Save in relation to cheques5 this implied authority does not, however, extend to firms which are not trading partnerships, such as solicitors6 or commission agents7. The fact that a