Question

In case of dishonour of a cheque, the Court will take action when ___________.

• A. a complaint has been made in writing
• B. complaint is made within one month or the date on which the cause of action arises
• C. court should not be inferior to that of a Metropolitan Magistrate or a Judicial Magistrate of the first class.
• D. all of the above

Answer 1

Answer: (B)

complaint is made within one month or the date on which the cause of action arises

The payee has to sent the notice to the drawer with 30 days from the date of non payment/non acceptance. The notice should mention that the cheque amount has to be paid to the payee within 15 days from the date of receipt of the notice by the drawer. If the cheque issuer fails to make a fresh payment within 30 days of receiving the notice, the payee has the right to file a criminal complaint under Section 138 of the Negotiable Instruments Act.