Notice for Dishonour of Cheque. Sample 1

From: / LETTER HEAD

To,

Dated :

Subject :- Legal Notice U/s-138 Negotiable Instruments Act for Payment of Rs……/- (Rs ……………………………… only) on Account of Dishonouring of Cheque for reasons “Insufficient Funds” bearing No ……………………………of………Bank.

Dear Sir,

1. Kindly refer to the subject cited herein above.

2. Under the instructions of my client ……… s/o ………. I hereby serve you the following express notice.

3. That in order to discharge your liability towards my client you had issued a cheque bearing No ………………………………………of ………………… from your account No …………………………………………drawn in favor of me/my client and had assured that the said cheque will be honoured upon presentation any time.

4. That said cheque was duly presented by my client for credit into account No ………………………………..of…………. Bank on ………………….. However, the said cheque has been returned to my client vide returning memo dated ………………showing the reasons “Insufficient Funds” which was received by my client through registered post on……………….

In view of the foregoing you are called upon through this legal notice to clear the above amount to my client forthwith but not later than 15 days failing which my client will be left with no option but to start legal proceedings civil as well criminal against you in which case you alone shall be liable for all costs and consequences.

Sent by registered/speedpost, and normal post and copy retained for record.

Notice for Dishonour of Cheque. Sample 2

A Notice by an individual regarding Dishonour of cheque

(To be sent within 30 days of the receipt of information from the bank regarding the return of the cheque as unpaid)

From

…………………………………………

…………………………………………

…………………………………………

To

…………………………………………

…………………………………………

…………………………………………

Sub: Dishonour of Cheque

Dear Sir,

1. By this notice I like to inform you that your cheque No……………. dated………………. for Rs…………….. (Rupees…………) drawn on………………. Issued by you in discharge of your liability to pay the aforesaid amount of money on account of goods having been supplied to you vide invoice No………………………… dated………………….. has been returned back to me by your bankers with the remarks “Refer to Drawer” on account of insufficiency of funds in your account and your having failed to arrange for its payment, this cheque has been returned to me by my bankers, namely…………………… on…………………..

2. That you are required to take a notice of demand under section 138 of the Negotiable Instruments Act, 1881 and to pay the whole amount of the cheque within a period of 15 days from the receipt of this notice failing which you shall become liable to be prosecuted under the penal provisions of the said section.

3. You are further required to note that if you fail to make the payment, you shall do so at your own responsibility and shall be liable for legal action both under the civil as well as under the criminal law applicable as on date. You are further liable for the cost of this notice.

Copy retained.

Place: Your faithfully,

Date:

Signature of the person giving notice

A Notice by a Sole Proprietor/Partner of a Firm/Director of a Company Regarding

Dishonour of Cheque

(To be sent within thirty days of the receipt of information

from the bank regarding the return of the cheque as unpaid)

From …………………………………………

…………………………………………

To …………………………………………

…………………………………………

…………………………………………

Dear Sir(s),

I have to serve the following notice on you being the sole Proprietor of the firm………………/ as the Partner of the firm………………. / being the Managing Director of the Company…………………… carrying on business at…………………… under section 138 of the Negotiable Instruments Act, 1881.

1. That against the goods supplied by us to you on account of the loan advanced to you for the property purchased by you in discharge of your debt and lability on account of the work done by us for you and/or for service rendered to you, you issued a cheque in our favour with the following particulars:

(i) Cheque No. ……………… (ii) Date ………………….

(iii) Amount …………………. (iv) Drawn on ……………..

2. That the said cheque was sent by us for collection through our bankers…………………. but we are surprised to find that same has been returned unpaid by your bankers on insufficiency of funds in your account with the endorsement “Refer to drawer” since you had failed to provide sufficient funds in your account.

3. That the dishonour of the cheque in the aforesaid manner clearly reflects your unpragmatic in the matter and is otherwise unwarranted.

4. That by dishonour of the cheque as aforesaid, you have made yourself liable to be prosecuted under the provisions of the Negotiable Instruments Act, 1881 and you are hereby to take notice under section 138 of the Negotiable Instruments Act to pay the aforesaid amount of Rs………… being the amount of the cheque along with bank charges within 15 days of the receipt of this notice by you, failing which I/we shall be proceeding under the Indian Penal Code, 1860 and under the provisions of the Negotiable Instruments Act, 1881 against you under which you may be punished by imprisonment for a term of two years and with fine which may be to the extent of twice the amount of the cheque or with both.

You are also required to pay for the legal costs incurred by me/us in the matter.

Place: Your faithfully,

Date:

Notice for Dishonour of Cheque. Sample 3

From:

To,

Dated :

Subject :- Legal Notice U/s-138 Negotiable Instruments Act for Payment of Rs……/- (Rs ……………………………… only) on Account of Dishonouring of Cheque for reasons “Insufficient Funds” bearing No ……………………………of………Bank.

Dear Sir,

1. Kindly refer to the subject cited herein above.

2. I / Under the instructions of my client…………………………/through its auhtorised signatory I hereby serve you the following express notice.

3. That in order to discharge your liability towards me/my client you had issued a cheque bearing No ………………………………………of ………………… from your account No …………………………………………drawn in favor of me/my client and had assured that the said cheque will be honoured upon presentation any time.

4. That said cheque was duly presented by me/my client for credit into account No ………………………………..of…………. Bank on ………………….. However the said cheque has been returned to me/my client vide returning memo showing the reasons “Insufficient Funds” dated ………………which was received by me/my client through registered post on……………….

In view of the foregoing you are called upon through this legal notice to clear the above amount to me/my client forthwith but not later than 15 days failing which I/my client will be left with no option but to start legal proceedings civil as well criminal against you in which case you alone shall be liable for all costs and consequences.

Sent by registered/speedpost, normal post and copy retained for record.