II. Bong bought 300 bags of rice from Ben for P 300,000.00. As payment, Bong indorsed to Bena Bank of the Philippine Islands (BPI) check issued by Baby in the amount of P 300,000.00. Upon presentment for payment, the BPI check was dishonored because Baby’s account from which it was drawn has been closed. To replace the dishonored check, Bong indorsed a crossed Development Bank of the Philippines (DBP) check issued also by Baby for P 300,000.00. Again, the check was dishonored because of insufficient funds. Ben sued Bong and Baby on the dishonored BPI check. Bong interposed the defense that the BPI check was discharged by novation when Ben accepted the crossed DBP check as replacement for the BPI check. Bong cited Section 119 of the Negotiable Instruments Law which provides that a negotiable instrument is discharged "by any other act which will discharge a simple contractfor the payment of money." Is Bong correct? (4%)