Which section defines cheque?
Section 6
In simple terms, a cheque is defined as a document that orders a bank to pay a specific amount of money from a person’s account to the person in whose name the cheque has been issued.
How many sections are in the NI Act 1881?
This amendment Act inserts five new sections from 143 to 147 touching various limbs of the parent Act and Cheque truncation through digitally were also included and the amendment Act was into force on February 6, 2003.
What is obliterated cheque?
(1) ] Where a promissory note, bill of exchange or cheque has been materially altered but does not appear to have been so altered, or where a cheque is presented for payment which does not at the time of presentation appear to be crossed or to have had a crossing which has been obliterated, payment thereof by a person …
What is a cheque as par Negotiable Instruments Act in India?
3.3. A cheque is a Bill of Exchange drawn on a specified banker and not expressed to be payable otherwise than on demand. A cheque is a Negotiable Instrument, which can be further negotiated by means of endorsement and is payable on demand.
In which section NI Act of 1881 the cheque is defined?
Section 6 of the Act defines “A cheque is a bill of exchange drawn on a specified banker, and not expressed to be payable otherwise than on demand”.
Is a dead cheque?
The Negotiable Instruments (Amendment) Bill, 2017 inserted a provision allowing a court trying an offence related to cheque bouncing, to direct the drawer (person who writes the cheque) to pay interim compensation to the complainant….
| Q. | ———— is a dead cheque |
|---|---|
| D. | Pre dated cheque |
| Answer» b. Stale cheque |
What does Section 6 deals within the negotiable instruments Act?
Section 6 of Negotiable Instruments Act 1881: “Cheque” A “cheque” is a bill of exchange drawn on a specified banker and not expressed to be payable otherwise than on demand.
How is a cheque discharged?
The bank fails before the cheque is presented. The drawer is discharged, but the holder can prove against the bank for the amount of the cheque. (1) Where a cheque payable to order purports to be indorsed by or on behalf of the payee, the drawee is discharged by payment in due course.
Who can endorse a cheque?
Endorsement of cheque
- Prof.
- Introduction Endorsement means signature of the holder (An individual who has lawfully received possession) made with object of transferring the document.
- Who may endorse The payee of an instrument is the rightful person to make the first endorsement.
What is Section 6 of Negotiable Instrument Act?
What is Section 6 of negotiable instrument Act?
What is Sec 6 deals negotiable instrument act?
Cheque
Cheque. A ”cheque” is a bill of exchange drawn on a specified banker and not expressedto be payable otherwise than on demand and it includes the electronic image of a truncated cheque and a cheque in the electronic form.