Stop payment of Cheque

Querist : Anonymous (Querist) 11 June 2010 This query is : Resolved
I have recently vacated a house and house owner has given me a cheque for the advance I paid. He has given the cheque from his wife bank account and when I have asked the reason he said he doesnt have enough money in his account. I trusted him as I have a two years relationship with him.

I have cleared all the dues honestly including the current bill and apartment maintainence. I have even paid money for tubelights which are not working.

I have taken the house for rent on March 10th 2008 and have paid the entire March month rent.

I have vacated the house on 6th June 2010 giving him proper two months notice according to the agreement.

At the time of vacating the house the house owner has asked me to pay the entire june month rent but I have argued that I took the house on 10th of the month and vacating four days in advance and he agreed with me orally.

But to my shock when I have presented the cheque to the bank it came back to me as my house owner has made a stop payment request to his bank.

My house owner is a bank manager and I think he knows in and out of the laws regarding the cheque instruments.

But I have been cheated at last even after being the honest.

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Devajyoti Barman (Expert) 11 June 2010
If the cheques has got bounces and one month has not passed since it has been dishonoured then you immediately send a notice calling upon him to clear the amount as mentioned in the cheque within 15 days from the date of receipt of notice failing which you have to file a case u/s 138 N.I.Act within one month after the expiry of that 15 days time in which case the drawer may be asked to pay twice the maount as mentioned in the cheque.However loss of Rent agreement may cost you dearly as the drawe of the cheque is not the landlord. Consult a lawyer fast.

Kiran Kumar (Expert) 12 June 2010
I am afraid, as per latest Supreme Court judgment, in case of Stop Payment of Cheque S.138 of Negotiable Instruments Act will not apply.

Strict Interpretation has been given to the said provision now, therefore the provision comes into operation only if the Cheque is dishonoured due to insufficient funds or exceeds arrangement.

Better meet some local lawyer and proceed with necessary civil and criminal litigation as requried.

Arvind Singh Chauhan (Expert) 12 June 2010
I fully agree with Kiran Sir.

ARVIND JAIN (Expert) 12 June 2010
IT IS NOT RECOVERABLE DEBT FROM HIS WIFE.NOTHING CAN BE DONE AGAINST HER. TAKE ACTION AGAINST OWNER FOR RECOVERY OF AMOUNT DUE.

adv. rajeev ( rajoo ) (Expert) 12 June 2010
Issue legal notice u/s 138 of NI act to both husband and wife, because wife issued a cheque on behalf of the husband so notice is necessary to him also
Husband has done a mistake of non intimating the stop payment instructions given to the bank, to you. He had to intimate the same to you.
So take a legal action against husband and wife u/s 138 of NI Act.

Uma parameswaran (Expert) 13 June 2010
With out time delay file civil and criminal case against them.

Surrender K Singal (Expert) 14 June 2010
What is the citation of SC's judgement about STOP Payment cheque ?

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