D-37, Block D, Pandav Nagar, New Delhi – 110092
advocateyashyadav@gmail.com
Cheque dishonour, commonly known as cheque bounce, is addressed under Section 138 of the Negotiable Instruments Act, 1881, which prescribes a specific procedure for the drawer of a cheque and the payee. Chambers of Advocate Yash Yadav advises both payees seeking to recover amounts due, and drawers who need to respond to such notices and complaints.
We assist with issuing statutory demand notices, filing complaints before the appropriate court, and representing clients through the trial process, as well as advising on settlement where both parties are open to resolving the matter without prolonged litigation
Section 138 proceedings involve strict statutory timelines for issuing notices and filing complaints, making timely action essential.
Section 138 proceedings follow a defined sequence of steps, from dishonour of the cheque to trial before the magistrate.
A demand notice must be issued within 30 days of receiving the bank's dishonour memo, followed by a complaint if payment is not made within 15 days thereafter.
Many cheque dishonour matters are resolved through compounding, and we advise clients on this option where suitable.
We focus on ensuring that statutory timelines are met and that supporting documentation is in order, whether pursuing a claim or defending against one.
Frequently asked questions about cheque dishonour matters.
A statutory demand notice must be sent to the drawer within 30 days of the cheque being dishonoured, as the first step under Section 138.
If payment is not made within 15 days of the notice, a complaint can be filed before the appropriate magistrate's court.
Yes, Section 138 makes dishonour of a cheque for insufficiency of funds a criminal offence, punishable with fine or imprisonment, or both.
Yes, such matters are generally compoundable, and parties may settle at any stage, including after conviction, subject to the court's discretion.
Defenses may include absence of a legally enforceable debt, procedural lapses in notice, or discrepancies in the cheque itself, depending on the facts.
Address: D-37, Block D, Pandav Nagar, New Delhi – 110092
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