Days of Grace


Also found in: Dictionary, Financial.

Days of Grace

An extension of the time originally scheduled for the performance of an act, such as payment for a debt, granted merely as a gratuitous favor by the person to whom the performance is owed.

In old English practice, days of grace allowed a person an extra three days beyond the date specified in a writ summoning him or her before a court in which to make an appearance without being subject to punishment for failure to appear. This allowance of time was granted in consideration of the far distances that had to be traveled to court.

The laws and customs that regulate the commercial affairs of merchants have recognized days of grace as a means of facilitating various transactions. Three days of grace were originally allowed to give a maker or acceptor of a note, bill, or draft, in which the person is ordered to make payment according to its terms, a longer time to pay than specified by the date in the document. This practice was begun merely as a favor to those who regularly engaged in business with each other, but it soon became a custom between merchants. Eventually, the courts recognized this right, often as a result of statute; in some cases, it has become a right that must be demanded.

The phrase days of grace is sometimes used interchangeably with grace period, a term used in insurance law to denote an extension of time within which to pay a premium due on a policy, but the terms do not have identical meanings.

DAYS OF GRACE. Certain days after the time limited by the bill or note, which the acceptor or drawer has a right to demand for payment of the bill or note; these days were so called because they were formerly gratuitously allowed, but now, by the custom of merchants, sanctioned by decisions of courts of justice, they are demandable of right. 6 Watts & Serg. 179. The number of these in the United States is generally three. Chitty on Bills, h.t. But where the established usage of the where the instrument is payable, or of the bank at which it is payable, or deposited for collection, be to make the demand on the fourth or other day, the parties to the note will be bound by such usage. 5 How. U. S. Rep. 317; 1 Smith, Lead. Cas. 417. When the last day of grace happens on the 4th of July; 2 Caines Cas. in Err. 195; or on Sunday; 2 Caines' R. 343; 7 Wend. 460; the demand must be made on the day previous. 13 John. 470; 7 Wend. 460; 12 Mass. 89; 6 Pick. 80; 2 Caines, 343: 2 McCord, 436. But see 2 Conn. 69. See 20 Wend. 205; 1 Metc. R. 43; 2 Cain. Cas. 195; 7 How. Miss. R. 129; 4 J. J. Marsh. 332.
     2. In Louisiana, the days of grace are no obstacle to a set off, the bill being due, for this purpose before the expiration of those days. Louis. Code, art. 2206.
     3. In France all days of grace, of favor, of usage, or of local custom, for the payment of bills of exchange, are abolished. Code de Com. art. 185. See 8 Verm. 833; 2 Port. 286; 1 Conn. 329; 1 Pick. 401; 2 Pick. 125; 3 Pick. 414; 1 N. & M. 83.

Mentioned in ?
References in periodicals archive ?
Set in Mexico City, the loco crime epic "Days of Grace" chaotically juggles ultraviolent action amid three televised Soccer World Cup seasons four years apart.
Sydney, May 25 (ANI): It has emerged that Scarlett Johansson is busy in the studio with the British music group Massive Attack to record a song for a new Mexican movie titled Days of Grace.
"She hasn't been named yet, but is with Les as well and will be called after her mum Days Of Grace," said Pain.
It's not like I am old enough to remember the days of Grace Brothers style one-on-one service in shops, but I certainly do recall the days when `customer services' wasn't a department all of its own, but simply part of people's jobs as a matter of course.
A similar scheme is currently being developed in Hartlepool, offering six fully-furnished apartments for young mothers, and we are hopeful that this will bring similar success to that which we have seen in the early days of Grace Court.
It is the most breathtaking memoir from athletes since Arthur Ashe's Days of Grace.
Days of Grace offers meditations for each day of Lent -- Sunday, of course, is excluded as not being part of the 40 days -- around the biblical imagery of journeys, mountains, light, food, healing.
When USA Today threatened to "out" the late Arthur Ashe--forcing him to reveal he had contracted AIDS during a blood transfusion after a heart bypass operation--it inspired him to pen his memoir, Days of Grace.
"I took a mental picture of her as maybe, just maybe, what my heart desired," is how he describes her effect on him in his best-selling memoir, Days of Grace.
With the challenge to be apostles of mercy and compassion, the first visit of Pope Francis will surely become momentous days of grace for us Filipinos.
As per the minister's decision, errant employers and their partners at companies will be granted a maximum of 30 days of grace period prior to taking the suspension decision of work permits to their other companies.
During the launch afternoon four bands entertained the crowds, and Rugby FM DJ Dave Barker was on hand to introduce them - Autonomy, and Severedstate, Days of Grace and Saving Sunday.