Legal Question in Banking Law in India

You have not said anything about the monthly rent. If there is any monthly rent stipulation, notwithstanding the advance paid, the tenancy will be treated as from month to month. You have to terminate the lease by issuing notice of 15 days ending with the tenancy month. That is if you want to vacate the house say by 31st October, you have to issue notice to the landlord that the tenancy stands terminated with the end of October and that notice should reach him before 15th October or 15th October at least. You must also demand the return of the advance. You cannot have the advance repaid without vacating the house. On the expiry of 31st October in the given example, you have to vacate the house and sue him for return of the advance. If the Blank cheque which he has given has been filled up by you and it bounced, you have to issue notice to him within a month from the date of receipt of intimation demanding him to pay the cheque amount with interest within 15 days of receipt of this notice. If payment is not forthcoming, you have to file the complaint under Sec.138 of the Negotiable Instruments Act in the metropolitan Magistrate or I class Magistrate court depending upon within whose jurisdiction you got the cheque back or the drawer resides within one month from the date of expiry of the 15 days within which he should have made payment. Better consult local lawyer in these matters and proceed.

Nothing remains to write after Mr.Radhakrishnan replies. Well said.

Terms of your agreement will govern your rights.

If you have not vacated the you will have to pay agreed rent/ advance for your stay. So the owner might be able to argue that he has no liability to pay the cheque amount.