Negotiable Instrument Act

C. A. N. B (Querist) 23 March 2009 This query is : Resolved
Hi Friends,

One of my client having a cheque date 25/05/2005 that has been dishonoured by bank due to insufficent balance of funds earlier. Now my client intends to claim that money form that party is there any remedy awailabe for that since time limit for making claim u/s138 of N.I Act has already been expired.

pls guide is there any solution of above problem.

thanks and Regds

N,B,

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M. PIRAVI PERUMAL (Expert) 23 March 2009
Already answered.

KANDE VENKATESH GUPTA (Expert) 23 March 2009
No you have no remedy either under the criminal law i.e., N.I.Act or under the Civil Law i.e., filing a suit for recovery of money. Since the time limit for recovery of suit is three years from the date of Promissory Note or the date of acknowledgment of the liability or date of part payment. Your client has no other option under law, but to have the matter amicably settle the matter with the borrower.

V.V.RAMDAS (Expert) 23 March 2009
Mr CANB,
Advise your client to write letter politely with a request to repay the due amount within a specified reasonable time with an intention to get a positive reply from the person. If the said person gives reply admitting the dues than your client can file a Money suit basing that reply as the limitation would be revived u/s 25(c)of the inian contract act.

n.k.sarin (Expert) 24 March 2009
I think your client must send demand notice of the ammount mentioned in the cheque to concerning party, if the said party reply negativly or positivly,fresh limitation start and you can recover the money filing suit in the civil court.
n.k.sarin Advocate Dehradun.

RAKHI BUDHIRAJA ADVOCATE (Expert) 24 March 2009
U should send a notice wherein u have to demand ur money. His admission or denial would provide a neew limitation period to u as per the section 25(c) of The Indian Contract Act.

A. A. JOSE (Expert) 24 March 2009
You may try as suggested by Mr.Ramdas.

Guest (Expert) 25 March 2009
For filing recovery of money suit time limit is 3 years from the date of cause of action arises, and under NI Act-138 as per your date time limit is expired.So, their's no remedy left to recover the money and the last option is to give the notice and settled the matter amicably.