Presumptions under Section 118 & 139 NI Act: How Corporates Establish Legally Enforceable Debt in Cheque Bounce Litigation
When a corporate entity issues or receives a cheque, the law does not treat it as an empty piece of paper. The Negotiable Instruments Act, 1881 (“NI Act”) arms the holder of a cheque with statutory presumptions under Section 118 and Section 139. These presumptions allow courts to assume, unless proven otherwise, that the cheque […]
