https://www.taxtmi.com/caselaws?id=366851 A cheque issued as security in a hire purchase transaction did not attract Section 138 of the Negotiable Instruments Act, 1881 where the vehicle had been seized by the financier and no legally enforceable debt existed on the date of presentation. The Court held that, after repossession, the post-dated cheque could not represent the full liability claimed, and the complainant had to pursue other recovery remedies for any balance. The Section 118 presumption did not establish an enforceable debt in these circumstances, so liability under Section 138 was not made out. en-us Tue, 21 Aug 2018 00:00:00 +0530 Wed, 12 Sep 2018 09:42:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=366851 A cheque issued as security in a hire purchase transaction did not attract Section 138 of the Negotiable Instruments Act, 1881 where the vehicle had been seized by the financier and no legally enforceable debt existed on the date of presentation. The Court held that, after repossession, the post-dated cheque could not represent the full liability claimed, and the complainant had to pursue other recovery remedies for any balance. The Section 118 presumption did not establish an enforceable debt in these circumstances, so liability under Section 138 was not made out. Case-Laws Indian Laws Tue, 21 Aug 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=366851