Encashing father's signed cheques after his death
Querist :
Anonymous
(Querist) 28 March 2022
This query is : Resolved
My father passed away 12-March'22 and he left behind signed 3 cheques (without date) for us to withdraw. I have issued father one cheque(Account pay- my account number) date 24 march'2022 and bank did not know my father is death so credited amount. so my question is, I will know to bank for my father death then this cheque will be affect for this account closing account or other process.
also one more question this cheque is valid or not.
kavksatyanarayana
(Expert) 28 March 2022
not valid. How can you encash such a cheque?
Querist :
Anonymous
(Querist) 29 March 2022
please inform me now i am go to bank and inform about my father death. bank will check last cheque detail?
this cheque will issued affect to the my father account or not?
one more question any legal punishment for this invalid cheque issued by me?
P. Venu
(Expert) 13 April 2022
It is the settled law that The relation between banker and customer is that of debtor and creditor, with a super added obligation on the part of the banker to honour the customers' cheques if the amount is in credit. A cheque drawn by a customer is in point of law a mandate to the banker to pay the amount according to the tenor of the cheque. The said mandate, on demise of customer, ceases to be a mandate. On the moment of demise of customer, the bank, in terms of its contract, is holding the money not to the order of the deceased customer, but to the order of his nominees or legal representatives. The bank cannot thus act on the order of the deceased customer. The cheque, which has been held to be merely an order, thus, on demise of drawer, ceases to be a cheque.
Advocate Bhartesh goyal
(Expert) 29 March 2022
