Product Description
A cheque bounce occurs when a cheque issued by an individual or business is dishonored due to insufficient funds, account closure, or other reasons. Under Section 138 of the Negotiable Instruments Act, 1881, dishonoring a cheque is a criminal offence, allowing the payee to initiate legal action. At Advocate Junction, we assist clients in pursuing recovery and enforcing their rights under this law.
Key Points About Section 138
- The cheque must be issued for payment of a legally enforceable debt or liability.
- Dishonor due to insufficient funds or closed account triggers legal liability.
- The payee can issue a legal notice demanding payment within 30 days.
- Criminal proceedings can follow if payment is not made within 15 days of notice.
- Punishment includes imprisonment up to 2 years and/or fine.
How Advocate Junction Helps You
- Drafting and sending legal notices for cheque bounce cases
- Filing complaints in criminal courts under Section 138
- Representing clients during hearings, trials, and appeals
- Advising on settlement options and dispute resolution
- Ensuring timely and strategic legal action to recover dues