Cheque Bounce (Sec 138) Timeline & Notice Generator

LEGAL DEMAND NOTICE UNDER SECTION 138 OF THE NEGOTIABLE INSTRUMENTS ACT, 1881 To: XYZ Logistics Pvt Ltd [Address of the Drawer / Company] From: Advocate / Authorized Representative on behalf of: M/s ABC Enterprises [Payee Address] Date: 24 Oct 2026 SUBJECT: STATUTORY DEMAND NOTICE UNDER SECTION 138 OF THE NEGOTIABLE INSTRUMENTS ACT, 1881 FOR DISHONOUR OF CHEQUE NO. 408912 FOR ₹2,50,000. Dear Sir/Madam, Under instructions from and on behalf of my client, M/s ABC Enterprises, I hereby serve upon you this Statutory Legal Demand Notice under Section 138 of the Negotiable Instruments Act, 1881: 1. That in discharge of your legally enforceable debt/liability towards my client, you had issued Cheque bearing No. 408912 drawn on HDFC Bank for a sum of ₹2,50,000. 2. That my client presented the said cheque for encashment through their bankers. However, to my client’s utter shock, the said cheque was returned unpaid and dishonoured by your bank vide Return Memo dated 19 Oct 2026 with the remarks: "Funds Insufficient". 3. That you were well aware of the insufficiency of funds in your bank account at the time of issuing the aforesaid cheque and intentionally cheated my client. 4. That by this statutory notice, you are hereby called upon to pay the entire cheque amount of ₹2,50,000 (Rupees 2,50,000 only) to my client within FIFTEEN (15) DAYS from the date of receipt of this notice. 5. Please note that if you fail to remit the aforesaid amount within the stipulated period of 15 days, my client shall be constrained to initiate criminal proceedings against you under Section 138 read with Section 141 and 142 of the Negotiable Instruments Act, 1881 before the competent Judicial / Metropolitan Magistrate Court, wherein you shall be liable for imprisonment up to two (2) years and fine extending up to ₹5,00,000 (twice the cheque amount), along with interim compensation under Section 143A of the Act. Yours faithfully, Advocate for M/s ABC Enterprises