What is the requirement of sending a legal notice under section 138 of Negotiable Instruments Act discuss?
When the cheque bounces due to insufficient funds and is returned by the bank, the payee should send a legal notice to the drawer of the cheque asking to make the payment. Cheque bounce is an offence under Section 138 of the Negotiable Instruments Act, 1881 in India.14-Apr-2022
The components required to comply with Section 138 of NI Act are as follows: A person must have received a check for payment of money to another person for the discharge of any debt or other liability. This check was sent to the bank within three months. The cheque shall be returned to the bank without being paid.
What is the statutory notice period intimating Dishonour of the cheque under Sec 138 of NI Act?
within fifteen days
Once a criminal complaint under Section 138 of the Negotiable Instruments Act is filed, the same cannot be amended.09-Sept-2021
How do I send a cheque bounce notice?
For a legal notice against cheque bounce to be valid, it must contain a reference to Section 138 of the Negotiable Instruments Act. Information about when the cheque was presented, the reason for non-realization of payment and a request to the cheque issuer to arrange for payment immediately through alternate means.
After giving notice you need to file a complaint case against drawer under Section 138 N.I. Act within 30 days from the expiry of notice period i.e. 15 days. In other words you need to file complaint case against drawer within 45 days (15+30) from the date of issue of notice.
How do you escape a cheque bounce case?
File a counter case: If the person files a false cheque bounce case against you in the court, you can file a reply to the case through a lawyer for cheque bounce case near you. You can also file a counter file of cheque against the person for filing a false cheque bounce case against you.
On a perusal of the materials available on record, for the offence under Section 138 of the Negotiable Instruments Act, the accused can rebut the evidence of the respondent by cross-examination, by examining witnesses on the side of the petitioner and produce materials and documents to rebut the evidence of the 01-May-2022
What is the time limit for cheque bounce case?
What is the limit for cheque bounce case? As per Negotiable Instruments Act, legal notice must be sent within 30 days from the date of cheque bounce. Thereafter within 15+30=45 days from the date of sending the legal notice, case must be filed.
The notice under section 138 of N.I. Act is required to be served on the accused within 30 days of intimation of dishonour of cheque but no specific format for it has been prescribed. Hence, it can be issued by e-mail as well.
How do I draft notice for 138 ni?
Notice Format under Section 138 The cheque no. [___] dated [___] for an amount of [___] drawn on the [___] branch, was issued by you in lieu of discharge of your financial liabilities to us. The said cheque was presented for payment, but the same has been returned by your bank with the endorsement [___].20-Jul-2018
Can a dishonoured cheque be presented in the bank again for payment? Answer: Yes, you can present the cheque again in the bank for payment, even if it was dishonoured on the first occasion. However, it goes without saying that the cheque can be presented again in the bank only during the period of its validity.26-Oct-2016
Can 138 case be transferred?
Yes it can e transferred in the given facts. It shall be transferred wherein your bank branch is located. The court shall return the complaint but not transfer, if it is lacking jurisdiction. Yes.
Bhaskaran case[21], Dashrath Rupsingh[22] observed that the moment when cheque is dishonoured by the drawee bank (bank of the drawer), offence under Section 138 gets attracted, hence as the offence is committed at the place of drawee bank, the court situated therein will have jurisdiction.03-Jan-2022
Is Section 138 A criminal offence?
PUNISHMENT: After the amendment of 2002 the imprisonment that may be imposed may extend to two years, while fine may extend to twice the amount of cheque. However, the trial is conducted in summary way, then Magistrate can pass sentence of imprisonment not exceeding one year and amount of fine exceeding Rs. 5,000/.
The consequences of not replying to notice is not an offence under the law, however, one must bring on record the relevant facts/ averments in his defence. In case no response is sent, and a legal action is initiated by the sender, the Court may take adverse inference against the defaulting party.03-Jun-2021
Is cheque bounce a criminal case?
If a cheque is bounced citing insufficient funds in bank account, it is a criminal offence and the payee - the person or the bank - can file a complaint under Section 138 of the Negotiable Instruments Act.04-May-2022
Preparation of Cheque Bounce Notice Drafting a legal notice for the dishonour of a cheque is compulsory, and lawyers must sign it. The payee should scrutinise it. In the next step, the notice is sent to the cheque drawer.11-Aug-2022
How many times cheque can be presented?
A Cheque can be presented any number of times in the bank within its validity period. If a cheque bounce occurs due to insufficient funds or signature mismatch, both the drawer and the payee are charged by their respective banks. However, a bounced cheque can be redeposited.09-Jun-2020
According to me in a case of check bounce court can not condone the single day to file complain under section 138 of negotiable instrument act becouse the limitation act 1963 doesn't apply upon check bounce cases and only such limitation act empowered the court under section 4 that after Expiry of prescribed period
Is legal heirs liable for cheque of drawer?
Even though under the above section, presentment can be made to the legal representative of the maker or drawee of the cheque, legal heir of the maker or drawee of the cheque is not liable for criminal action under Section 138 of the Act. 4.
What is the requirement of sending a legal notice under section 138 of Negotiable Instruments Act discuss?