Can anyone explain whether in a case of unfilled but executed pronote, the plaintiff is entitled to recover when the rate of interest column was filled up after execution without intimation to the defendant as distinct from filling up of other columns. Can you also cite any Supreme Court Judgement to the effect that rate of interest is a separate contract and would not fall within meaning of inchoate instrument as to get protection under the Negotiable Instruments Act and in particular Section 20 of the said Act.
The Inchoate instrument as stated in section 20 is some thing different and has not relation with your problem. If one person gives to another person a negotiable instrument totally or partly blank with instruction to fill up suitable name or amount is covered in section 20. For example if a businessman hand over a broker 10 blank cheques with instruction to purchase goods from market on behalf of him and fill up suitable name or amount as per bills. it is a inchoate instrument as per s 20. Now the broker cannot use the cheques to withdraw cash or to give some body loan or to purchase a car for his own. Your case is a case of forgery and a forged document is not enforceable by the law.
06 August 2008
No if the interest column is filled after the execution of the pronote and if the Defendant suceeds in proving the same then the Plaintiff is not entitled for the interst as claimed by him.