Sajad Ahmad 18 August 2022

compromise under sec 138 ni act

is execution of compromise between the complainant and accused maintainable when the compromise is not executed in lok Adalat

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This discussion clarifies whether a compromise under Section 138 of the NI Act is enforceable if not executed in a Lok Adalat. It explains that if no compromise occurs between the complainant and accused, it cannot be executed. Furthermore, any compromise decree that creates or extinguishes rights, particularly involving immovable property not central to the original suit, must be registered.

2 Replies

Advocate Bhartesh goyal (advocate) 19 August 2022

No, when compromise between complainant and accused did not happen then question of it's execution is not possible and binding on partis and not executable.

Anusha Sharma 19 August 2022

If a right is created by a compromise decree or is extinguished, it must compulsorily be registered if the compromise decree comprises immovable property which was not the subject-matter of the suit or proceeding