Article 50A guarantor shall undertake several liability together with the guaranteed for the draft under guarantee. Article 70 When exercising the right of recourse, the holder may demand the person against whom the right of recourse is exercised to pay the following sum and expenses: 1 the sum payable by the bill of exchange dishonoured; 2 interest, calculated at the rate prescribed by the People's Bank of China, on the sum payable by the bill of exchange, from the date of maturity or from the date of presentment for payment to the date of payment; and 2 the expenses for obtaining relevant evidence of dishonour and for dispatching notices.
Article 42 When accepting a bill of exchange, the drawer shall write "accepted" and the date of acceptance on the front of the bill and sign it. The acceptor or payer has been declared bankrupt according to law or whose business operations have been suspended due to violations of the law.
Where the presentment for acceptance or the presentment for payment by the holder is rejected, the acceptor or the drawee must provide proof of dishonour or statement on reasons for dishonour.
The term "prior parties" means other persons liable for a negotiable instrument who put their signatures thereon prior to the current signer or holder. If serious losses incur and the case is serious enough to constitute a crime, criminal responsibilities shall be affixed.
Article 33An endorsement shall not have conditions attached, If an endorsement has conditions attached, the conditions do not have the effect on the draft. If the acceptor or payer has failed to produce the certificate of dishonor or the statement on the ground for protest, the acceptor or payer shall bear all the civil responsibilities arising therefrom.
If losses are caused to the parties to the instrument as a result of the above-mentioned act committed by a staff member of a financial institution,the said institution and the person who is directly responsible shall be liable for the losses according to law. The endorser shall pay off the sum and expenses, as stipulated in Articles 70 and 71 of this Law, to the holder in case of non-acceptance or non-payment of the bill.
Article 30 The name of endorsee shall be specified when a bill of exchange is endorsed to negotiate or when the exercise of certain part of the right thereon is endorsed to another.