Complaint Under Section 138 NI Act Maintainable Against Dishonour Of Cheques Issued In Pursuance Of Agreement For Sale: SC [Read Judgment]

Ashok Kini

27 March 2019 10:53 AM IST

"Though it is well settled that an agreement to sell does not create any interest in immovable property, it nonetheless constitutes a legally enforceable contract between the parties to it."

The Supreme Court has observed that a complaint under Section 138 of the Negotiable Instruments Act is maintainable when there is dishonour of cheques issued under and in pursuance of the agreement to sell. In Ripudaman Singh vs. Balkrishna, a couple entered into an agreement to sell with the accused, who paid some amount in cash and towards balance, issued two post dated cheques, each...

Complaint Under Section 138 NI Act Maintainable Against Dishonour Of Cheques Issued In Pursuance Of Agreement For Sale: SC [Read Judgment]

Ashok Kini

"Though it is well settled that an agreement to sell does not create any interest in immovable property, it nonetheless constitutes a legally enforceable contract between the parties to it."

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