Payment in due course of crossed cheque
Full Text
Payment in due course of crossed cheque.—Where the banker on whom a crossed cheque is drawn has paid the same in due course, the banker paying the cheque, and (in case such cheque has come to the hands of the payee) the drawer thereof, shall respectively be entitled to the same rights, and be placed in the same position in all respects, as they would respectively be entitled to and placed in if the amount of the cheque had been paid to and received by the true owner thereof.
Plain English Summary
Grants complete statutory discharge to the paying bank and the drawer when a crossed cheque is paid in due course according to its crossing.
Key Legal Elements
- Paying bank pays crossed cheque in due course
- Cheque is paid in strict compliance with crossing
- Paying banker is fully protected against claims by true owner
- Drawer is discharged from liability on underlying debt if cheque reached payee
Practical Note
Dual statutory protection: both paying banker and drawer are legally protected as if payment reached the true owner. If an unauthorized person stole the cheque and encashed it through a bank account, but the paying bank complied with all crossing mandates, neither the bank nor the drawer can be made to pay a second time.
हिंदी पाठ
रेखांकित चेक का सम्यक् अनुक्रम में संदाय।—जहां उस बैंककार ने जिस पर कोई रेखांकित चेक लिखा गया है, उसका संदाय सम्यक् अनुक्रम में कर दिया है, वहां चेक का संदाय करने वाला बैंककार और (यदि ऐसा चेक आदाता के हाथों में पहुंच चुका है) उसका आहर्ता क्रमशः उन्हीं अधिकारों के हकदार होंगे और सभी दृष्टियों से उसी स्थिति में रखे जाएंगे, जिसके वे क्रमशः हकदार होते और जिस स्थिति में वे तब होते यदि चेक की राशि का संदाय उसके वास्तविक स्वामी को कर दिया गया होता और उसने उसे प्राप्त कर लिया होता।