https://www.taxtmi.com/caselaws?id=463559 Once execution of a negotiable instrument is proved, Section 118(a) of the Negotiable Instruments Act creates a rebuttable presumption that it was made for consideration. That presumption may be displaced only by credible direct, circumstantial, or probabilistic evidence showing that the pleaded consideration did not exist or that a different consideration was actually proved. On the facts described, the surrounding agreement, correspondence, conduct, and transfer of possession of additional property showed that the promissory note was not a cash loan but was executed in return for that transfer. The presumption therefore remained intact and the note was treated as supported by valid, enforceable consideration. en-us Tue, 06 Feb 1996 00:00:00 +0530 Sat, 06 Sep 2025 12:23:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=463559 Once execution of a negotiable instrument is proved, Section 118(a) of the Negotiable Instruments Act creates a rebuttable presumption that it was made for consideration. That presumption may be displaced only by credible direct, circumstantial, or probabilistic evidence showing that the pleaded consideration did not exist or that a different consideration was actually proved. On the facts described, the surrounding agreement, correspondence, conduct, and transfer of possession of additional property showed that the promissory note was not a cash loan but was executed in return for that transfer. The presumption therefore remained intact and the note was treated as supported by valid, enforceable consideration. Case-Laws Indian Laws Tue, 06 Feb 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=463559