Demand promissory note
anandkumar singh
(Querist) 09 July 2012
This query is : Resolved
I have file a money suit under Or.xxxvii summary procedure on the basis of Demand Promissory Note. But demand promissory note is sign without affixing any stamp.
Plz tell me legality of that demand promissory note. Is there any case law regarding this.
R.K Nanda
(Expert) 09 July 2012
DPN is defective and illegal and suit is
liable to be dismissed.
Rajeev Kumar
(Expert) 09 July 2012
Unstamped demand promissory note is defective,illegal and invalid in the eye of law. Hence the suit is liable to be dismissed.
ashutosh mishra
(Expert) 11 July 2012
Has it been admitted in evidence or has been impounded?
You are advised to take help of proviso of section 35 of the Stamp Duty Act.
"35. Instruments not duly stamped inadmissible in evidence etc. - No instrument chargeable with duty shall be admitted in evidence for any purpose by any person having by law or consent of parties authority to receive evidence, or shall be acted upon, registered or authenticated by any such person or by any public officer unless such instrument is duly stamped :
Provided that-
any such instrument not being an instrument chargeable [with a duty not exceeding ten naye paise] only or a bill of exchange or promissory note, [or acknowledgement or delivery order], shall, subject to all just exceptions, be admitted in evidence on payment of the duty with which the same is chargeable, or, in the case of an instrument insufficiently stamped, of the amount required to make up such duty, together with a penalty of five rupees, or, when ten times the amount of the proper duty or deficient portion thereof exceeds five rupees, of a sum equal to ten times such duty or portion;"
