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Indian Laws - Highlights / Catch Notes

Home Highlights November 2021 Year 2021 This

Dishonor of Cheque - One of the most material aspects is that ...


Court Upholds Cheque Dishonor Case; No Fraud or Misrepresentation Claimed, Complaint Format Challenge Rejected.

November 15, 2021

Case Laws     Indian Laws     SC

Dishonor of Cheque - One of the most material aspects is that the signatures on the cheques were not denied. Neither was it explained by way of an alternative story as to why the duly signed cheques were handed over to the Company. There was no plea of any fraud or misrepresentation. It does, thus, appear that faced with the aforesaid position, the respondent only sought to take a technical plea arising from the format of the complaint to evade his liability. There was no requirement of a loan agreement to be executed separately as any alternative nature of transaction was never stated. - the complaint was properly instituted - SC

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