Category: Law Services

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Grounds for Dishonour of Cheque: The foremost ground is insufficiency of funds which occurs when the amount written in the cheque is more than what is contained in the account. If the signature of the drawer didn’t match with what the bank has, the cheque would get dishonoured. If it is a post-dated cheque, presented after the date mentioned on the cheque. Account closed by the drawer is another. If the cheque is presented after its expiry that is 3 months. When a stop instruction is given to the bank by the drawer to stop the processing of the cheque or cancel payment. If the aforementioned conditions are satisfied, a case can be filed and these are some important documents needed for it: ● Original Cheque ● Cheque Return Memo ● Copy of Legal Notice ● An Affidavit supporting the Complaint