In calculating the date at which a promissory note or bill of exchange, made payable a stated number of months after date or after sight, or after a certain event, is at maturity, the period stated shall be held to terminate on the day of the month which corresponds with the day on which the instrument is dated, or presented for acceptance or sight, or noted for non-acceptance, or protested for non-acceptance, or the event happens, or, where the instrument is a bill of exchange made payable a stated number of months after sight and has been accepted for honour, with the day on which it was so accepted.
If the month in which the period would terminate has no corresponding day, the period shall be held to terminate on the last day of such month.
Legal Commentary & Landmark Judgments: Section 23
Section 23 provides rules for calculating the maturity date of a bill or note payable a stated number of months after date or sight, resolving calendar variations and leap years.
In trade financing, maturity calculations for instruments drawn at the end of January, August, or October require close calendar auditing to avoid presenting paper prematurely or missing limitation deadlines.