SETH JAGJIVAN MAVJI VITHLANI vs MESSRS RANCHHODDAS MEGHJI.

The Supreme Court held that under Section 32 of the Negotiable Instruments Act, 1881, the drawee's liability arises only upon acceptance of the bill, with no liability existing prior to that, except in specific cases under Section 31. The Court clarified that Section 61 mandates presentment for acceptance in cases where the bill is payable after sight, while for bills payable on demand, acceptance and payment occur simultaneously. The Court ruled that oral acceptance is not valid under Section 7, which requires a signed assent on the bill for acceptance to be recognized.