Laws Related to Cheque Bounce in India – Procedure, Punishment, and Legal Remedies

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Cheque Bounce Laws And Punishment  In today's world of banking transactions, cheques are a trusted medium of payment for most people and institutions. With the increasing use of cheques, incidents of cheque bounce have also become common. Due to lack of information, many people are either unable to take proper legal action in cases of cheque bounce or have to face unfair legal action. To regulate cases of cheque dishonour, a law came into force in 1881, which is known as the Negotiable Instruments Act. Let us know the important provisions related to this Act. What is Cheque Bounce? Meaning and Legal Definition A cheque bounce case is filed under Section 138 of the Negotiable Instruments Act, 1981. If someone has given you a cheque and you deposit it in the bank to get it cashed, then sometimes due to some reasons the bank dishonours the cheque, due to which the person depositing the cheque does not receive the amount mentioned on the cheque. This is called cheque bounce in commo...

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