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Rajesh   30 July 2016

Can i represent my father in cheque bounce?

My father is living and has given me few cheques. These cheques are from a person who took loan from my father and therefore this person had given my father few cheques as a security against the loan. 

1) Cheques do not have a date but have the amount written on each of them

2) My fathers name is written on each on of them too.

3) My father is not in a position due to age issues of going to the court to fight a case against this person

My question two questions are: 1) Is there any way I can file a case on behalf of my father? and 2) After I file a case and my father expires, will the court allow me to continue the case?

 



Learning

 8 Replies

G.L.N. Prasad (Retired employee.)     30 July 2016

Please do remember that essential details are required in posting issue.

A cheque is a Negotiable instrument.

Your father must have parted with consideration in the name of drawer and there should be some minimum proof for parting with consideration.

A cheque is a negotiable instrument and can be transferred by means of endorsement (by signing on the back of cheque in blank or writing please pay to.....with signature) and delivery.

Every holder of the cheque with such endorsement in law is called as Holder for due consideration and stepps into the shoes of original payee, and the holder can exercise all his rights at par with original payee as holder in due course.  This including filing suits for recovery.

If your father gives endorsement on back of the cheque Please pay to  and signs his name, you can immediately deposit these cheques in your account during life time, and can become a holder in due course.

This procedure is proper in law.

Sudhir Kumar, Advocate (Advocate)     31 July 2016

agreed                                 

Augustine Chatterjee,New Delhi (Advocate & Solicitor at Law)     31 July 2016

Agreed with thwe above mentioned advice. In addition to this, I would also like to add that, in case your father dies during the pendency of the case, you may be impleaded as a de facto complainant in the case by virtue of section 302 r/w section 256 Crpc.

Augustine Chatterjee

Advocate & Solicitor at Law

9999931153

 

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     09 August 2016

Is it not necessary that the endorsement in favour of holder in due course is also for a consideration?

G.L.N. Prasad (Retired employee.)     13 August 2016

Consideration is a presumption under Negotiable Instrument Act. (It may be present or future).  It is the drawee that has to argue about such consideration and not the holder in due course.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     15 August 2016

Consideration need not necessarily be specifically there in the Negotiable Instruments Act as such. It is generally an accepted principle that whenever goods or services are transferred the transferror is bound only if he had received a consideration for such transfer. In the case of a chain of several endorsements whom will the holder in due course sue, the one who immediately endorsed it in his favour or the original drawer of the cheque?  If one applies the general principle of valid transfer for consideration there must be a counterflow of consideration at every stage of endorsement. Otherwise things will become complicated.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     15 August 2016

If the drawee has to argue in the case of Mr. Rajesh only his father can argue and not the son. His father can give a specific POA to his son along with a will in son's favour.

kalyan singh Ex public Prosecu (advocate)     17 September 2016

agree with the comments of all the seniors above. i want to add that the endoresement can only be done if the "account payee only"is not written on the cheque.


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