Liability of payment
Querist :
Anonymous
(Querist) 13 October 2011
This query is : Resolved
I have issued a cheque of Rs. 1 lacs to a partner for completing a task. We have documented agreement for this payment on plain white paper with sign of him and me. But, he has not completed the task and presented the cheque in the bank.
Am I liable to make him the payment. What course of action, should I need to take in this condition.
Thanks,
Nadeem Qureshi
(Expert) 13 October 2011
firstly if you are ready to pay the amount and not any legal issued between you and your partner then pay the amount with a written document with cheque detail otherwise when he send you a legal demand notice then pay him that amount no need to worry. but if you wanna compantation to him then file a suit for specific performance and get compantation
Querist :
Anonymous
(Querist) 13 October 2011
If it was a conditional cheque, linked to completion of the task. He asked cheque only for security reason. Since, he has not completed the task, I should not be liable to make the payment.
Please suggest.
prabhakar singh
(Expert) 13 October 2011
you ISSUE HIM A NOTICE reminding the condition as cheque issued was simply a security for work to be done since work has not been done please return the cheque back as you are not entitled to any payment,refer to his writings of agreement made between you and him,be QUICK TO ACT,IF DOES NOT RESPOND WRITE TO BANK NOT TO PAY BY STOP PAYMENT ADVISE.
Querist :
Anonymous
(Querist) 13 October 2011
I dont have enough money in my account so automatically the cheque will be returned back.
Will bank consider this as a conditional cheque. Bank will be simply interested that the cheque is a valid one with valid signature and dates etc. Why will bank try to understand the reason behind the cheque.
prabhakar singh
(Expert) 13 October 2011
you are more wise than me ,i take my advise back and beg your pardon for my blunder.
Querist :
Anonymous
(Querist) 13 October 2011
Please sir, do not mis-understand me. I am just trying to understand the limitation/ power of bank and law.
Raj Kumar Makkad
(Expert) 13 October 2011
If you are not interested in your problem and want to just increase your knowledge on powers of bank and related laws then purchase some books and engage full time therein otherwise the best suggestion has already been issued to you by prabhakar singh to which I ratify.
Take quick action as suggested, if you are really facing the problem you posted here or be ready to face consequences of 138 NI Act.
Querist :
Anonymous
(Querist) 18 October 2011
I have take action as suggested by respected Prabhakar Singh ... Thanks
