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Legal Notice for Cheque Bounce

A legal notice for cheque bounce is a formal communication sent by the payee to the drawer of a bounced cheque, demanding the payment of the cheque amount along with the additional penalty charges as per the legal provisions. The legal notice acts as a warning to the defaulter to make the payment, failing which the payee can take legal action against them.

The legal notice for cheque bounce should contain the following information:

Name and address of the payee.

  1. Name and address of the drawer.
  2. Date of the cheque and the amount.
  3. Date of presentation and the reason for the cheque bounce.
  4. Demand for the payment of the cheque amount along with penalty charges.
  5. Warning of legal action if the payment is not made within the specified time.

The legal notice can be sent through registered post or courier with acknowledgement due, or through email or fax with a delivery confirmation. The notice should be sent within 30 days of the cheque bounce. 

If the drawer fails to make the payment within 15 days of receiving the legal notice, the payee can file a criminal complaint under section 138 of the Negotiable Instruments Act, 1881, which deals with the dishonour of cheque and provides for imprisonment and fine as punishment for the offender.

It is advisable to seek legal counsel before sending the legal notice and taking further legal action.

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