Firm cheque for personal debts

if the cheque is signed by the partner himself, then you can file case u/sec. 138 for cheque bouncing against that person in the individual capacity only.

Regards

Advocate Rohit Dalmia

9324538481

Mumbai

agree with Mr. Rohit

non payment of amount, after receiving the legal notice is an offence u/s 138 of NI Act.

It is clear that this man violated the principle of partnership firm by issuing a cheque to clear personal debt. But only other partner can come forward and claim adjustment from him.

For you the case falls under settlement of this man's liability by firm, so my view is different. First the firm and after that the partners, thats the rule. So please send the notice to firm as well as to this man as the partner of firm  highlighting the facts. You must implead the firm.

Thanks for the suggest sirs. it helps.

Sir Trivedi Ji, please trying to understand "violated the principle of partnership firm by issuing a cheque to clear personal debt". Does it mean to clear personal loan one should not use firm for the payment or is any law points under any section that restricts said act. Thanks.

Yes, but that is not your problem, so you ignore it.

1. If you implead him only, he can say that the account is not in his name, it is in the name of partnership firm, which is a legal entity.

2. But you have  a problem, because you never dealt with the firm and the cheque is of firm.

So you have to resolve both these issues. That is only possible by impleading   both firm and him, but state the facts, that this cheque was issued by him, from firm's account to clear the liability. This will fall under other liability definition of S.138/139, thats very much maintainable.