What is the procedure to be followed in case of cheque bounce


Have a cheque of 5000 rs from a person which is bounced because of insufficient balance. Now advocate demand 4000 rs for applying this matter in court. Is it worth that for 5000 rs I have to pay 4000 rs to an advocate. What is your advice in this matter

Answers (2)


58 votes

you can negotiate with your lawyer, further court will award you the litigation cost. .


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282 votes

After the cheque is bounced you are bound to send the concerned person a legal notice for initiating proceedings under section 138 of Negotiable Instruments Act.

If within 15 days the payment is not made you can register a complaint under section 138 of NI act which is a criminal proceeding. This needs to be filed within 30 days of the completion of 15 days of the notice delivery date.

Alongwith that you can file a recovery suit / summary suit in the concerned civil court simultaneously.

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