Demand notice service under Section 138 can be presumed when properly dispatched; "house locked" endorsement does not defeat the complaint at threshold.

For Section 138 of the Negotiable Instruments Act, duly addressing and posting a demand notice to the drawer's correct address satisfies the requirement of "giving notice"; actual receipt is not invariably necessary. A returned notice marked "house locked" does not, by itself, justify dismissal of the complaint at the threshold, because service and any allegation of evasion must be assessed on evidence at trial. The statutory scheme and the presumption under Section 27 of the General Clauses Act support service where notice is properly dispatched, unless the contrary is proved.

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Issues: Whether a complaint under Section 138 of the Negotiable Instruments Act, 1881 can be dismissed at the threshold on the ground that notice of demand was not actually served on the drawer, where the notice was sent to the correct address and returned with an endorsement indicating that the house was locked.

Analysis: Under the proviso to Section 138, the payee must make a demand by giving notice in writing within the prescribed time, and the drawer must fail to pay within fifteen days of receipt of that notice. The expression "giving notice" is not identical to actual receipt. Once notice is properly addressed, prepared and posted to the correct address, the statutory scheme and the principle reflected in Section 27 of the General Clauses Act, 1897 permit a presumption of service unless the contrary is shown. The object of notice is to give the drawer an opportunity to make payment and to prevent evasion by avoiding service. An endorsement such as "house locked" does not, by itself, justify rejection of the complaint at the threshold; the effect of such endorsement and any allegation of managed non-service are matters to be examined on evidence during trial.

Conclusion: The complaint could not be dismissed at the threshold merely because the notice was returned with the endorsement that the house was locked; the issue of service had to be considered in trial.

Ratio Decidendi: For purposes of Section 138 of the Negotiable Instruments Act, 1881, dispatch of a duly addressed demand notice to the correct address constitutes sufficient compliance with the requirement of giving notice, and actual receipt is not invariably necessary to maintain the complaint.

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