"not negotiable"
Querist :
Anonymous
(Querist) 12 April 2011
This query is : Open
NI Act, 1881
Section 125 Crossing After Issue :
Where a cheque is uncrossed, the holder may cross it generally or specially.
Where a cheque is crossed generally, the holder may cross it specially.
Where a cheque is crossed generally or specially, the holder may add the words "not negotiable".
Where a cheque is crossed specially, the banker to whom it is crossed may again cross it specially to another banker, his agent, for collection.
Question :
1) Where a cheque is crossed generally, the holder may cross it specially. (so vive - versa is not applicable (means if the cheque crossed is crossed specially, the holder cannot cross generally)) right ?
2) Where a cheque is crossed generally or specially, the holder may add the words "not negotiable".
It means that when the word "not negotiable" is written on the cheque than the cheque cannot be further endorsed to anybody else right ? Eg: a/c payee "not negotiable" to jyoti than jyoti cannot endorsed to anybody else & if the cheque is lost than bank cannot deposited the cheque which contains the word "not negotiable" to the other a/c if the cheque is lost ?
3) Where a cheque is crossed specially, the banker to whom it is crossed may again cross it specially to another banker, his agent, for collection.
but if the word "not negotiable" is written than banker can also can't endorsed to any another person or banker. right ?
Thanks.
