Negotiable instrument act
pratik
(Querist) 09 June 2010
This query is : Resolved
I Have heard that as per the Negotiable instrument act crossed cheque is not a Negotiable instrument WHY SO ? ANd pls tell me that which are the cheque & documents are not Negotiable instrument .
meaning of Fiduciary relation as per the hindu succession act & contract act, 1872.
Thanking u all experts in advance.
Surrender K Singal
(Expert) 09 June 2010
Cheque remains a negotiable instrument for the N I Act, even if it is crossed !
Parthasarathi Loganathan
(Expert) 09 June 2010
Author is incorrect in his presumption. Crossing of cheque is only a notice to the paying banker that the proceeds must be credited to the beneficiary's bank account and should not be paid cash to a third party.