Legal Question in Banking Law in India

I got a cheque from one of my parties who perchase goods and was diahonured today what should be my further action and how long could it take in recovering funds


Asked on 7/09/15, 3:25 am

1 Answer from Attorneys
Fca Prashant Chavan Expert Edge LLP

09.07.2015

Dear Sir / Madam,

Your first course of action is to inform the party of the cheque having been dishonoured giving a copy of the bank advice, and asking the party to pay you the amount of the cheque within the next 10 days. If the party fails to pay and settle the cheque amount within those 10 days, you can lodge a recovery case for cheque dishonour against the party under Section 138 of the Negotiable Instruments Act. You have 30 days time from the date of receipt of intimation of cheque dishonour from the Bank to lodge this case.

Regards,

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Answered on 7/09/15, 7:47 am


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