Negotiable Int. act & Summery Suite
Anwar A Noor
(Querist) 19 May 2009
This query is : Resolved
I had sold materials to one partnership firm & had collected Post dated Chq's from them. The cheques have bounsed for reasone exeeds arrangement & stop payement. It was my first transection. On return of chqs i have given him notice U/s 138 & intend to file suite against him. & they are denying all the transections.(the party has also defaulted with its bankers & his factory is Morgetged & bank intends to issue him notice under surfassi act)
If along with 138 i also file a summery suite to recover my dues but since his factory is morgetged i also feel need to file summery suite agains him so as to have my rights also on his factory's sale proceeds after banks payement is cleared.
Now i what to know,
Is it possible to get compensation from court of 138 as well as recovering my money by fileing summery suite in civil court? as i have learnt that 138 courts gets you only compensation or Jail to accused & not recover your dues Whereas only summery or civil suite can give you rights on defendents property to recover dues.
Kindky reply at earliest as i have very littel time
Y V Vishweshwar Rao
(Expert) 20 May 2009
1 The Liability to pay the Cheque amount and no payment u/s 138 NI Act is deferent and it is with punishment and damages
2 The Suit / SCS for recovery of amount as due from a person and directing him to pay the decreatal amount.
3 Both cases u/s 138 & suit are indipendent in natuure
4 You can file suit for recovery of amount & you can file Case u/s138 of NI Act
