Paid for notice period by cheque. Now asking for DD.What if I deny it?

In Labour & Service Law

I had to pay 60,000 as recovery amount in my last company in lieu of my notice period. I issued them a cheque on 12th Sept 2013 and got my experience certificate. Now on 10th Dec 2013, they sent me a text saying that my cheque has been cancelled by their finance head (don't know why) and they want me to provide them a Demand Draft now.

Now I want to know if they can take any legal action against me If I don't issue them a Demand Draft.

Answers (1)

244 votes

If the cheque has not been dishonoured, for any reason, then it is not your fault and you are not liable to pay any further amount.

If they had received the cheque and now do not wish to present it, they should have informed earlier. Kindly reply to them in writing, through a letter, that the cheque can be presented (before 12th Dec 2013 as from 1st April 2012, cheques, drafts, pay orders and banker's cheques will be valid for only three months from the date they are issued) and that it shall be honoured and if they do not do so, then it is not your responsibility.

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