Cheque Bounce Lawyers In Delhi 91-8877001993

Cheque bounce could be understood as the situation where one’s cheque is rejected by the bank due to some financial or non-financial reasons including lack of funds in account, incorrect date, mismatch in the signature, etc. A record of bounce cheque could affect your credit score negatively, thereby making it harder to do business. 

This article helps you understand the reasons for a cheque bounce and as to why appointing a cheque bounce lawyer is necessary.

When does a Cheque Get Bounced ?

A cheque could be declared as invalid for numerous reasons. Some of which have been mentioned here under-

• Insufficient Funds:  One of the most common reason for a cheque bounce is the insufficiency of balance in the drawer’s account.
• Incorrect Date: When a post-dated cheque is presented before the specified date on the cheque, i.e. the future date, the cheque will be rejected. Again, a cheque would be denied, if presented after a period of three months has expired from the date of issue. 
• Signature Mismatch: A cheque will be denied in case of any discrepancy with the signature on the cheque.
• Closed Account: A cheque would be denied when drawn on a closed account. 
• Irregularities in Cheque: Issues including mismatch in the amount mentioned in figures and words on the cheque, torn or mutilated cheque or incomplete details, would lead to cheque bounce.
• Technical Reasons: In some situations, a cheque may also get bounced due to some  error in the printing or encoding or if cheque is damaged.

The above-mentioned reasons are some of the many reasons for which a cheque is refused by the Bank.

Cheque Bounce Law

Section 138 of the Negotiable Instruments (Amendment) Act, 2018 deems the instance of cheque-bounce as a criminal offence. 

As per the Act, the drawer of the cheque, in case of cheque bounce, will have to pay a compensation which is double of the amount written on the cheque. 

In case the drawer fails to pay the compensation, he could be termed for imprisonment for a period of 2 years.

In severe cases, the drawer may have to pay double the compensation as well as serve an imprisonment of 2 years. 

Why Should One appoint a Cheque Bounce Lawyer ?

As has already been explained above that cheque bounce is not only a criminal offence but could also negatively affect your credit score, it becomes necessary that any matter related to cheque bounce should be handled properly and promptly, where the assistance from an experienced cheque bounce lawyer becomes necessary. 

You may contact us at Sharks of Law in case you have any query related to the issue of cheque bounce or are facing problems related to recovery of money due to cheque bounce.  

Discussed below are some of the reasons as to why appointing a cheque bounce lawyer becomes necessary.

• Recovery of Money

When a payment is made in your favour through cheque, which ultimately gets bounced due to insufficiency of funds, it is important that you appoint a cheque bounce lawyer immediately. The Lawyers from Sharks of Law could assist you with such matters by recovering the amount with appropriate interest through proper legal measures provided under Section 138 of the NI Act.

• Notice

An experienced cheque bounce lawyer could assist you by drafting and issuing a statutory notice to the drawer, thus initiating the legal proceedings. 

• Helps you Protect From Legal Trouble

In case you have issued a cheque to someone, which later on bounced and in case receive summons from the Court under Section 138 of the NI Act, having an experienced cheque bounce lawyer with you would ultimately protect you from huge liabilities which you may have to incur in case no timely action is taken by you. 

It must be remembered that cheque bounce cases are criminal in nature and should be taken seriously.  

Summing up, the matter of cheque bounce should be taken seriously and prompt actions should taken in both situations, if one is one the receiving end of  it or if one is drawer of the cheque. Thus, it is important to appoint a cheque bounce lawyer as early as possible. 

You may contact us at Sharks of Law, in case you are facing a problem related to cheque bounce, that is if you are payee or the drawer, our legal team could offer you appropriate assistance so as to recover your money or deal with legal trouble successfully.

Email:-helpdesk@sharksoflaw.com

Help Desk:-+91-88770-01993