Bills of Exchange Ordinance

Where a bill is dishonoured, the measure of damages, which shall be deemed to be
            liquidated damages, shall be as
follows—
(a)
the holder may recover from any party liable on the bill, and the drawer who has
                been compelled to pay the bill may recover from the acceptor, and an indorser who
                has been compelled to pay the bill may recover from the acceptor, or from the
                drawer, or from a prior
indorser—
(i)
the amount of the bill;
(ii)
interest thereon from the time of presentment for payment, if the bill is
                    payable on demand, and from the maturity of the bill in any other
                    case;
(iii)
the expenses of noting, or when protest is necessary and the protest has
                    been extended, the expenses of protest;
(b)
in the case of a bill which has been dishonoured at any place outside Hong
                Kong, in lieu of the above damages, the holder may recover from the drawer or an
                indorser, and the drawer or an indorser who has been compelled to pay the bill may
                recover from any party liable to him, the amount of the re-exchange, with interest
                thereon until the time of payment;
(Amended
23 of 1998 s. 2
)
(c)
where by this Ordinance interest may be recovered as damages, such interest
                may, if justice requires it, be withheld wholly or in part, and where a bill is
                expressed to be payable with interest at a given rate, interest as damages may or
                may not be given at the same rate as interest proper.
[cf. 1882 c. 61 s. 57 U.K.]