Which one of the following proviso clauses of Section 138, Negotiable Instruments Act requires notice…
The proviso to section 138 of the Negotiable Instruments Act sets three conditions: clause (a) presentation of the cheque within six months or its validity, clause (b) a…
Choose your answer
Which one of the following proviso clauses of Section 138, Negotiable Instruments Act requires notice of fifteen days in case of failure of payment of cheque?
Answer and explanation
Correct answer C
The proviso to section 138 of the Negotiable Instruments Act sets three conditions: clause (a) presentation of the cheque within six months or its validity, clause (b) a written demand notice within thirty days of receiving information of dishonour, and clause (c) failure of the drawer to pay within fifteen days of receiving that notice. The fifteen-day period is therefore in "Clause (c)"; the proviso has no clause (d).
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