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Cheque Bounce

Cheque Bounce

A cheque bounce is a serious financial offense under Section 138 of the Negotiable Instruments Act, 1881. If you have received a bounced cheque due to insufficient funds, signature mismatch, or other reasons, you have the right to take legal action and recover your dues.

Why Choose Our Services?

  • Expert Legal Guidance – Specialized in cheque bounce cases.
  • Quick Legal Notice Drafting – Timely issuance of demand notice to the drawer.
  • Court Representation – Filing criminal complaints and representing your case.
  • End-to-End Support – From pre-litigation to court proceedings.

When Can You File a Case?

You can initiate legal action if:

  • The cheque was returned due to insufficient funds.
  • The cheque was dishonored due to signature mismatch or technical reasons.
  • The drawer fails to make the payment within 15 days after receiving legal notice.


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      Corporate Genie has a team of registration experts who can provide complete guidance to register your Cheque Bounce!

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      Resolve all Queries

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      Complete Guidance

      Your expert crafted Conversion of Cheque Bounce application will be ready for filling before you know it!

      Our Process

      Case Assessment – Reviewing the bounced cheque and transaction details.
      Legal Notice Drafting – Sending a formal demand notice within 30 days.
      Filing the Case – Initiating proceedings under Section 138 of the NI Act.
      Court Representation – Arguing the case in court for compensation and penalties.

      Legal Consequences for Cheque Bounce

      Penalty & Compensation – The drawer may be liable to pay up to double the cheque amount.
      Imprisonment – Up to two years of jail term for serious offenses.

      Time Limitation: The time limitation for filing a cheque bounce case under Section 138 of the Negotiable Instruments Act, 1881 is as follows:

      • The cheque must be presented to the bank within 3 months from the date mentioned on it.
      • If the cheque is bounced, a legal notice must be sent to the drawer within 30 days from the date of dishonor.
      • The drawer has 15 days from the receipt of the notice to make the payment.
      • If the drawer fails to pay, the case must be filed in the appropriate court within 30 days after the 15-day period ends.
      Cheque Bounce

        FAQs

        A cheque bounce case arises when a cheque is dishonored due to insufficient funds, signature mismatch, or other technical reasons.
        Cheque bounce cases are governed under Section 138 of the Negotiable Instruments Act, 1881.
        .Insufficient funds in the account
        . Signature mismatch
        . Mismatch in cheque details (date, amount, payee name)
        . Account closure or stop payment instructions
        You should send a legal demand notice to the cheque issuer within 30 days of the dishonor.
        You can file a case if the drawer fails to make the payment within 15 days after receiving the legal notice.
        .The cheque must be presented within 3 months from its issue date.
        . A legal notice must be sent within 30 days of cheque dishonor.
        . If unpaid, a case must be filed within 30 days after the 15-day payment period.
        Yes, a bounced cheque can be re presented within its validity period (3 months).
        Yes, cheque bounce cases can be settled through mutual agreement before or during legal proceedings.

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