Vendor deposited security cheque without our consent
9 months ago
We have stopped our business & paying our vendor debts monthly basis. A vendor suddenly deposited our issued security cheque for their balance payment without our consent even requested not deposit the security cheque. They are denying to provide payment entry and credit entry for material returned outstanding ledgers requested many times. What are the solution for us. Shall we continue our payment monthly basis.
A.Dear client,
You cannot stop a cheque from being cashed once it has been issued in someone's favour unless you apply to the bank to do so. However, if the cheque is bounced or dishonoured for any reason, the drawee or cheque holder must serve a legal notice to the cheque drawer within 30 days of becoming aware of the bounce in order to bring a complaint under Section 138 of the N I Act, 1881. As a result, before continuing to make monthly payments, you should seek advice and direction from an advocate.
You cannot stop a cheque from being cashed once it has been issued in someone's favour unless you apply to the bank to do so. However, if the cheque is bounced or dishonoured for any reason, the drawee or cheque holder must serve a legal notice to the cheque drawer within 30 days of becoming aware of the bounce in order to bring a complaint under Section 138 of the N I Act, 1881. As a result, before continuing to make monthly payments, you should seek advice and direction from an advocate.
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A.Once cheque issued in favor any person you cannot prevent it from from encashment unless you stop it's encashment by application to the Bank.. However, if the cheque is bounced or dishonored for any reason, a legal notice is required to be issued by the drawee or cheque holder to cheque drawer within 30 days of knowledge of bounce to file a case u/s.138 of N I Act, 1881. So, in the prevailing situation, before continue of monthly payment, you need to consult with an Advocate for guidance and steps.
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