What is Section 138 of Negotiable Instruments Act?

Section 138 of Negotiable Instruments Act relates to dishonour of cheque i.e. when is a cheque returned as unpaid on being presented to the banker. Section 138 of the Negotiable Instrument Act, 1881 can be divided into the following elements-

  • Cheque is drawn by a person on account maintained by him;

  • Such cheque is issued for discharge of a legally enforceable debt or liability;

  • Such discharge can be in whole or in part;

  • To any other person to whom such payment is to be made;

  • Such cheque is returned by the bank as unpaid because of any reasons aforementioned;

  • Such person or drawer is deemed to have committed the offence of “dishonour of cheque”.

If you receive a notice under Section 138 of Negotiable Instruments Act, do not panic and hire an expert cheque bounce lawyer online.

 


Have a Legal Issue?
Get connected to the Best Lawyers and Chartered Accountants Near You!

Insta Consult | Legistify
Insta Consult | Legistify

You might like reading these


Most Consulted Cheque Bounce Advocates

Choose from our most consulted lawyers across India and get instant legal advice.

Top Consulted Cheque Bounce Advocates

Choose from our most consulted lawyers across India and get instant legal advice.