A cheque bounce case in India is generally filed under Section 138 of the Negotiable Instruments Act, 1881 when a cheque issued towards a legally enforceable debt or liability is dishonoured due to insufficiency of funds, exceeds arrangement, account closure, payment stopped or other legally recognised reasons. The payee must issue a written demand notice...
Read MoreMeaning of Cheque Bounce Cheque Bounce Means Where any cheque drawn by a person on an account maintained by him with a banker for payment of any amount of money to another person from out of that account for the discharge, in whole or in part, of any debt or other liability is returned unpaid...
Read MoreSection 138 of the Negotiable Instruments Act, 1881 (NI Act) is a vital provision that addresses the issue of dishonored cheques in India. This article aims to provide a comprehensive understanding of Section 138 NI Act, including its key elements, legal requirements, procedure for filing a complaint, role of the courts, defenses available to the...
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