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(1)Where, in the British Islands, a money or postal order issued by the Post Office is presented for payment by a banker to whom it has been delivered for collection, payment of it to him discharges it.
(2)Where, in the British Islands.—
(a)an uncrossed money or postal order issued by the Post Office, being an order expressed to be payable to a person specified or described therein and being, or purporting to be, signed by him or on his behalf; or
(b)an uncrossed postal order so issued, being an order not expressed to be payable to such a person;
is presented for payment otherwise than by a banker to whom it has been delivered for collection, payment of the order to the person by whom it is presented discharges it.
(3)A money or postal order issued by the Post Office is discharged by the payment thereof outside the British Islands in accordance with arrangements in that behalf made by the Post Office.
(4)Where a money or postal order issued by a foreign administration is paid by the Post Office to a banker to whom it has been delivered for collection on behalf of a person other than the true owner of the order, the Post Office shall not be liable to the true owner of the order by reason of having paid it to that banker.
(5)Where—
(a)an uncrossed money or postal order issued by a foreign administration, being an order expressed to be payable to a person specified or described therein and purporting to be signed by him or on his behalf ; or
(b)an uncrossed postal order so issued, being an order not expressed to be payable to such a person;
is presented to the Post Office for payment otherwise than by a banker to whom it has been delivered for collection or the true owner of the order, payment of the order by the Post Office to the person presenting it shall not render the Post Office liable to the true owner of the order.
(6)No proceedings shall lie against the Post Office for loss or damage due to refusal by it to pay, or delay by it in paying, a money or postal order issued by it or a foreign administration.
(7)A scheme made under section 28 of this Act may provide that a money or postal order issued by the Post Office or a foreign administration will not, after the expiration of a specified period, be paid by the Post Office except on satisfaction of specified conditions.
(8)References in this section (except that in subsection (3)) to a money order issued by the Post Office shall be construed as including references to an order issued by it in pursuance of such an arrangement as is mentioned in section 24 of the [1953 c. 36.] Post Office Act 1953 (arrangements with other countries as to transmission of small sums through post offices), being an order which is for the payment of money in the British Islands and corresponds to a money order issued by the Post Office.
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