• Given a post dated cheque for vacating property.

Hi,

We had a tenant who was occupying one of our properties since last 2 decades. We tried to settle with him and gave him a post dated cheque. The property was vacated but the construction on it could not be completed in time and hence we haven't got any revenue yet. The due date has for the cheque is crossed and we haven't made any payment. The tenant has sued us for the cheque. What are the options which we have?
Asked 6 years ago in Property Law
Religion: Muslim

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10 Answers

Challenge the summoning order issued to you in the cheque bounce case by way of moving a petition under s. 482 CRPC before the High Court and seek a stay on proceedings or a no-coercive against you.

Vibhanshu Srivastava
Advocate, Lucknow
9600 Answers
303 Consultations

5.0 on 5.0

1) make payment of the cheque amount

2) if you dont have money at present apply for and obtain bail from court

3)cheque bouncing cases take 5 years to be disposed of

4) as and when you have money settle with the complainant

5) make application for compounding of the offence

Ajay Sethi
Advocate, Mumbai
94692 Answers
7527 Consultations

5.0 on 5.0

Hi

For a cheque bounce case, there should be a legal debt.

Paying goodwill to a tenant for vacating the property is NOT a legal debt, but instead is a "Gift"/ "Goodwill".

Gift/Goodwill is NOT treated as a legal debt or liability and hence 138 Negotiable Instruments act will not be applicable in this case.

You should challenge the opposite claim of cheque bounce on the grounds of non existence of legal debt or liability or obligation.

Rajgopalan Sripathi
Advocate, Hyderabad
2173 Answers
394 Consultations

5.0 on 5.0

If you have enough balance to pay and if you accept the liability then you can pay the amount and get the offence compounded.

You can appear before the court, apply for bail and then you can fight the case.

Also you can challenge the case u/s 482 of the Cr.P.C.

Regards

Anilesh Tewari
Advocate, New Delhi
18078 Answers
377 Consultations

5.0 on 5.0

1. Well, if you agreed to pay them to vacate the proeprty then you must honour the sme.

2.Now even if the date for the cheque ahs expired your liability to pay them does not relinquish.

3.So the tenant has rightly sued you to get back their money.

4. Now you have got back your premises, you should implement the agreement by making them paid their money.

5.if you do not pay them then the tenant would get such order from court.

Devajyoti Barman
Advocate, Kolkata
22815 Answers
488 Consultations

5.0 on 5.0

1. Was there any agreement executed by you with the said tenant agreeing to pay him the said amount for which the said post dated cheque was issued by you to him?

2. Is there any evidence/record that you have issued a post dated cheque to him towards the said agreed payment?

3. In short, can the tenant prove that the said cheque was issued to him by you against your some dischargable liabilities towards him?

4. If not then no case of section 138 of N.I. Act will lie on you. Moreover, post dated cheque can be termed as security cheque and no case u/s138 of N.I. Act is applicable on dishonour of security cheque.

5. However, if there is an agreement by which you have the liability to pay him the said cheque amount then you have the fair chance to be prosecuted before the Court.

6. In the above event it will be prudent on your part to negotiate with the tenant and reissue the cheque to him on condition that he withdraws his said case filed as per NI Act.

Krishna Kishore Ganguly
Advocate, Kolkata
27219 Answers
726 Consultations

5.0 on 5.0

Hii, either he can file criminal complaint under section138 NI act or he can file a civil recovery suit .. 2) in case of criminal complaint , it's a bailable offence , take bail and join the trial ,, if he files for recovery suit , join the proceedings with your defence reply to the petition

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

4.9 on 5.0

You can appear before the court when you get a summons and apply for bail and fight the case. So you can get time up to 3 years for payment of the cheque amount .when you have pay the money and settle with the complainant then file an application for compounding of the offence .

Tenant's duty to to prove that the said cheque was issued to him by you against your discharge of liabilities towards him

Ajay N S
Advocate, Ernakulam
4072 Answers
111 Consultations

5.0 on 5.0

1. If the cheque has been dishonoured due to insufficiency of funds in your account then provisions of section 138 NI Act will apply whereunder a criminal prosecution may be launched. It carries an imprisonment of up to 2 years on conviction. IN 138 NI Act prosecution there is a presumption that cheque was issued in discharge of a legally enforceable debt, and the burden to rebut this presumption is on the accused. So if he has filed this case then apply for and obtain bail by engaging a lawyer.

2. Furthermore, he can also file a civil suit for recovery of money, which you can contest when you receive summons.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

You might have received the legal demand notice before he filed this private criminal complaint, did yo not give any reply to that notice,if not then you have done a mistake about it.

Now you have to defend yourself based on the reasons you rely upon for issuing him the cheque and also for not honoring the payment, allowing the cheque to get bounced.

T Kalaiselvan
Advocate, Vellore
84893 Answers
2190 Consultations

5.0 on 5.0

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