Issued cheques are invalid when mode of operation is changed
Rahul Gupta
(Querist) 03 October 2009
This query is : Resolved
I have issued an cheque having mode of operation is Either or Survivor. But later on the mode of operation is changed to joint and i need such written information which shows that the issued cheque with single signature at the time of Eithor or Survivor mode becomes invalid due to change of mode of operation.
Actually, i have issued a cheque in March and the mode of operation is changed to Joint in May, while the cheque issued in march with single signature is presented for payment in September and got dishonoured on the ground that " Double Signature Required ". Where as the cheque become invalid because mode of operation is changed. SO I NEED SUCH KIND OF INFORMATION WHICH IS LEGALLY ACCEPTED.
A V Vishal
(Expert) 03 October 2009
Issue fresh cheques in lieu of the old invalid cheques, since you have no intention of defrauding the persons you issued the cheques.
Rahul Gupta
(Querist) 03 October 2009
Actually one of the issued chque at the time of Either or Survivor is already submitted and got dishonoured on the ground that " double signature required " . I have an dispute with my another partner and that's why the mode of operation is changed to joint. Now the same party has gone to Court. I have got the Stay on the basis that the cheque is invalid and for your information the months i have mentioned is for the year 2006. Now the firm has closed and balances of the account is duly made NIL after such dispute in May, 2006. While the cheque is submitted on Sep, 2006 and the same got dishonoured. After this the bank has also made the 2nd memo that " Insufficient Funds ". I am in a need of such law which shows that the cheque is invalid and any Court cases on Incomplete signatures.
Raj Kumar Makkad
(Expert) 03 October 2009
It is very difficult to have similar citation in my view, however, i shall trace it out, if found, shall mail u.
adv. rajeev ( rajoo )
(Expert) 10 October 2009
I think ur partner has moved to the court. It is very difficult because when ur firm had an a/c and operating method was either or survivor base.
Regarding presumption recent 2008 supreme court judgement can be referred.
If ur partner has filed acase u/s 138 against u it is the best judgement.
