Cheque For Loan Agreement

This is a departure from the position in Shanku Concretes Pvt. Ltd.v. State Of Gujarat4 and Balaji Seafoods Exports (India) Private Limited v. Mac Industries Limited5, as the liability that required proper performance was examined on the day of delivery or delivery of the cheque, contrary to the date indicated on the cheque. 15.1 The English language is used in all correspondence and communication between the parties. 15.2 Cumulative Rights All remedies brought by the Lender under this Agreement, whether provided for or granted by law, civil law, customary law, customary law, trade or use, are cumulative and non-alternative and may be applied successively or simultaneously. 15.3 Benefits of the Loan Agreement The loan agreement is binding on each party and its successors or heirs, administrators, and for the benefit of this agreement. 15.4 Any delay in the exercise or omission of any right, power or remedy vested in the Lender under this Agreement, other agreement or other document shall not affect such rights, powers or remedies and shall not be construed as a waiver or tolerance of delay; Similarly, the lender`s action or omission with respect to a default or the tolerance of a delay does not affect or affect the lender`s right, power or remedy with respect to another default. The court also ruled: “The shame of a cheque that was made for the execution of subsequent liability is clearly covered by the law in question. In determining the applicability of section 138 of the Act, it is essential to know whether the cheque constitutes relief for existing debt or enforceable liabilities or whether it constitutes an advance payment without existing debts or debts.

The dishonesty of the cheque in cash for the performance of existing liability falls under section 138 of the Act, as the High Court rightly held. In the past, the deposit of cheques repaid by a borrower had a dual purpose for lenders: first, direct access to a borrower`s account at a maturity date without the borrower having to wait to complete the procedural formalities and, second, the possibility of recourse under section 138 of the Negotiable Instruments Act, 1881 (“the Law”). which makes it possible to subordinate criminal liability to a failing commercial transaction, which is also only civil. With the development of complex crow mechanisms that give a lender absolute control over borrowers` accounts, making the first goal almost superfluous, lenders have begun to view these complacent checks primarily as collateral that should only be used in the event of non-compliance. Dear NAGARAJAN, you can formally let him know that you deposit the checks, and if they are not cashed, you can take legal action…