The negotiable instruments amendment second ordinance, 2015 was promulgated on september 22, 2015. The amendment makes changes in provisions relating to the territorial. Negotiable instruments amendment act, 2015 to amend ni. Whereas the negotiable instruments amendment bill, 2015 had been passed.
Sep 03, 2015 the negotiable instruments amendment ordinance, 2015, which was promulgated by the president of india on 15 june 2015, has lapsed on 31 august 2015. Effect of recent amendments in negotiable instruments act on the. According to section of the negotiable instruments act, a negotiable instrument means a promissory note, bill of exchange or cheque payable either to order or to bearer. I had mentioned in detail the consequences of lapsing of negotiable instruments amendment ordinance 2015 which led to uncertainty of territorial jurisdiction in cheque bounce cases. Whereas the negotiable instruments amendment bill, 2015 has been passed by the. Jun 17, 2015 president of india has promulgated negotiable instruments amendment ordinance, 2015 6 of 2015. Negotiable instruments amendment act, 2015 to amend ni act. Approval to promulgate the negotiable instruments amendment. The ordinance will be deemed to have been in force from june 15, 2015.
Cabinet approves new negotiable instruments amendment. Section 15 in the negotiable instruments act, 1881. Be it enacted by parliament in the sixtyninth year of the republic of india as follows. The negotiable instruments amendment act, 2015 is focused on clarifying the jurisdiction related issues for filing cases for offence committed under section 8 of the negotiable instruments act, 1881. An ordinance to amend the negotiable instruments act, 1881 ni act has been promulgated by the president of india on june 15, 2015. When the maker or holder of a negotiable instrument signs the same, otherwise than as such maker, for the purpose of negotiation, on the back or face thereof or on a slip of paper annexed thereto, or so signs for the same purpose a stamped paper intended to be completed as a negotiable instrument, he is. Aug 31, 2016 the provisions of the negotiable instruments amendment act, 2015 shall be deemed to have come into force on the 15th day of june, 2015. An ordinance to provide for the enforcement of contractual terms by third parties and for related matters. In the information technology act, 2000 21 of 2000 hereinafter referred to as the principal act, in section 1, in subsection 4, for clause a, the following clause shall be substituted, namely.
Last week union cabinet had approved to promulgate the negotiable instruments amendment ordinance 2015 which redefined the jurisdiction clause in the negotiable instrument act. President assents negotiable instruments amendment. Jun 10, 2015 in view of the urgency to create a suitable legal framework for determination of the place of jurisdiction for trying cases of dishonour of cheques under section 8 of the ni act, the government has decided to amend the law through the negotiable instruments amendment ordinance, 2015. The ordinance provides for determination of territorial jurisdiction of courts for trying cases relating to offence of dishonour of cheques under section 8 of the negotiable instruments act, 1881 ni act. The negotiable instrument act, 1881 legislative department. The parliament reassembled on july 21 2015 for the monsoon session. Whereas the negotiable instruments amendment bill, 2015 has been passed by the house of the people and is pending in the council. The amendments to the negotiable instruments act, 1881 the ni act are focused on clarifying the jurisdiction related issues for filing cases for. The negotiable instruments amendment second ordinance, 2015. Proposal to promulgate the negotiable instruments amendment. The negotiable instruments amendment ordinance, 2015, which was promulgated by the president of india on 15 june 2015, has lapsed on 31 august 2015. The act will replace negotiable instrument amendment ordinance which was repromulgated on 25 th september 2015. The negotiable instruments amendment and miscellaneous.
Jan, 2016 the negotiable instruments act ordinance, 2015 is passed by the president on immediate basis whereas it has been passed by the lok sabha and is pending in the rajya sabha as the parliament is not yet in session. Proposed amendments to negotiable instruments, 1881 has focused on clarification of jurisdiction pertaining to issues for filing cases for offences committed. Negotiable instruments amendment ordinance, 2015, was promulgated by the president of india on. The provisions of the negotiable instruments amendment act, 2015 shall be deemed to have come into force on the 15th day of june, 2015. The president of india has promulgated the negotiable instruments amendment ordinance, 2015 6 of 2015 on 15 th june 2015. Every state has adopted article 3 of the uniform commercial code ucc1, with some modifications, as the law governing negotiable instruments. An act to define and amend the law relating to promissory notes, bills of exchange and cheques. This act may be called the negotiable instruments act, 1881.
Definition of negotiable instrument according to section of the negotiable instruments act, 1881, a negotiable instrument means promissory note, bill of exchange, or cheque, payable either to order or to bearer. Promulgated by the president in the sixtysixth year of the republic of india. New delhi, the 15th june, 2015jyaistha 25, 1937 the negotiable instruments amendment ordinance, 2015 no. Negotiable instrument amendment second ordinance 2015. The income tax department never asks for your pin numbers, passwords or similar access information for credit cards, banks or other financial accounts through email the income tax department appeals to taxpayers not to respond to such emails and not to share information relating to their credit card, bank and other financial accounts. It is pertinent to mention that previously on 15 june 2015, the negotiable instruments amendment ordinance, 2015, was passed, which lapsed on 31 august 2015. Comment on the negotiable instruments amendment ordinance. President pranab mukherjee gave his assent to negotiable instruments amendment ordinance, 2015. The ordinance will help to tackle issues related to cheque bounce cases and allow filing of. A negotiable instrument means a promissory note bill of exchange or cheque payable either to order or to bearer only the above instruments are governed by ni act. Constitution, the president is pleased to promulgate the following ordinance. From the information available, it appears that this ordinance has not been repromulgated so far as of the writing of this article on 3 september 2015. A bill further to amend the negotiable instruments act, 1881. Negotiable instruments amendment second ordinance, 2015 and the negotiable instruments amendment act, 2015.
The act defines promissory notes, cheques and specifies penalties for bouncing of cheques, and other violations. After the union cabinet, chaired by the prime minister narendra modi, had given its approval for the proposal, president of india has promulgated negotiable instruments amendment ordinance, 2015 6 of 2015. The negotiable instruments act, 1881 destinationca. Whether the payee or holder of a cheque can initiate prosecution for an offence under section 8 of the negotiable instruments act, 1881 for its dishonour for second time, if he had not initiated any action on the earlier cause of action. Negotiable instrument amendment act 2015 comes in to force. Jan 24, 2018 the cabinet today decided to bring in an ordinance to amend the negotiable instruments act, which provides for filing of cheque bounce cases in place where the cheque was issued, a move that will bene. Law of the land the negotiable instruments amendment. It does not however specify the jurisdiction of courts where cheque bouncing cases may be filed. Aug 19, 2015 the proposed amendments to the negotiable instruments act, 1881 the ni act are focused on clarifying the jurisdiction related issues for filing cases for offence committed under section 8 of the ni act. When the maker or holder of a negotiable instrument signs the same, otherwise than as such maker, for the purpose of negotiation, on the back or face thereof or on a slip of paper annexed thereto, or so signs for the same purpose a stamped paper intended to be completed as a.
New delhi, the 15th june, 2015 jyaistha 25, 1937 the negotiable instruments amendment ordinance, 2015 no. Earlier in june 2015, union cabinet had recommended promulgation of this ordinance to the president. Sep 17, 2015 the union cabinet, chaired by the prime minister shri narendra modi, has given its approval for the proposal to promulgate the negotiable instruments amendment ordinance, 2015. The negotiable instruments amendment act, 2015 was passed in the lok sabha in may seeking to overturn a supreme court 2014 ruling said the case has to be initiated where the chequeissuing. Of penalties in case of dishonour of certain cheques. It shall be deemed to have come in to force on the 15th june 2015. Once the instrument is transferred, the holder obtains full legal title to the instrument. The amendments to the negotiable instruments act, 1881 the ni act are focused on clarifying the jurisdiction related issues for filing cases for offence committed us 8 of the ni act. An act further to amend the negotiable instruments act, 1881. If, on the date of the commencement of the negotiable instruments amendment act, 2015, more than one prosecution filed by the same payee or holder in due course, as the case may be, against the same drawer of cheques is pending before different. Every negotiable instrument shall be governed by the provisions of this act, and no usage or custom at variance with any such provision shall apply to any such instrument. The proposed amendments to the negotiable instruments act, 1881 the ni act are focused on clarifying the jurisdiction related issues for filing cases for offence committed under section 8 of the ni act. Lapsing of negotiable instruments amendment ordinance 2015.
Negotiable instruments amendment ordinance, 2015, was promulgated by the president of india on june 15 2015. Notwithstanding anything contained in the code of criminal procedure, 1973 or any judgment, decree, order or direction of any court, all cases transferred to the court having jurisdiction under subsection 2 of section 142, as amended by the negotiable instruments amendment ordinance, 2015, shall be deemed to have been transferred under this act, as if that sub. The cabinet today decided to bring in an ordinance to amend the negotiable instruments act, which provides for filing of cheque bounce cases in place where the cheque was issued, a move that will bene. The negotiable instrument act was originally drafted in 1866 by the 3rd indian law. The president of india has promulgated the negotiable instruments amendment ordinance, 2015 no. Negotiable instruments amendment ordinance, 2015 6 of 2015 on 15th june 2015.
The proposed amendments to the negotiable instruments act, 1881 the ni act are focused on clarifying the jurisdiction related issues for filing cases for. Negotiable instrument amendment act 2015 comes in to. Bhashyam and adigas,the negotiable instruments act, 19th ed. The union cabinet, chaired by the prime minister shri narendra modi, has given its approval for the proposal to promulgate the negotiable instruments amendment ordinance, 2015. Section 8 negotiable instruments act, 1881 an in depth. Be it enacted by parliament in the sixtysixth year of the republic of india as follows. An ordinance further to amend the negotiable act, 1881. In view of the urgency to create a suitable legal framework for determination of the place of jurisdiction for trying cases of dishonour of cheques under section 8 of the ni act, the government has decided to amend the law through the negotiable instruments amendment ordinance, 2015. The basic reason as to why this amendment is brought in is to resolveclarify the jurisdiction issues. The negotiable instruments act, 1881 a negotiable instrument is a written order to pay a fixed sum of money on demand or at a certain time. Sep 16, 2015 it is pertinent to mention that previously on 15 june 2015, the negotiable instruments amendment ordinance, 2015, was passed, which lapsed on 31 august 2015. The ordinance amends the negotiable instruments act, 1881. The clarification of jurisdictional issues may be desirable from the equity point of view as this would be in the interests of the. Liability of banker for negligently dealing with bill presented for payment.
It extends to the whole of india but nothing herein contained affects the indian paper currency act, 1871, 3 of 1871. Lapsing of negotiable instruments amendment ordinance. New delhi, the 15 th june, 2015 jyaistha 25, 1937 saka the negotiable instruments amendment ordinance, 2015 no. President of india has promulgated negotiable instruments amendment ordinance, 2015 6 of 2015. Calculation of the date of maturity of a billofexchange. The negotiable instruments act, 1881 xxvi of 1881 9th december, 1881 an act to define and amend the law relating to promissory notes, bills of exchange and cheques. The negotiable instruments act ordinance, 2015 is passed by the president on immediate basis whereas it has been passed by the lok sabha and is pending in the rajya sabha as the parliament is not yet in session. In the negotiable instruments act,1881 26 of 1881hereinafter referred to as the principal act, in section 6. Negotiable instruments amendment bill, 2017 a aims to amend the negotiable instruments act, 1881, asking the drawer of a cheque that has been dishonoured to pay interim compensation to the complainant. Dec 30, 2015 the act will replace negotiable instrument amendment ordinance which was repromulgated on 25 th september 2015. A negotiable instrument can be transferred from one person to another. Discuss the key benefits of this ordinance necessitating its passage.
It does not however specify the jurisdiction of courts where cheque bouncing cases. Negotiable instruments act, 1881 pdf file chapter i preliminary sections 1. An ordinance further to amend the negotiable instruments act, 1881. Govt clears ordinance to amend negotiable instruments act. The legal information institute negotiable instruments are mainly governed by state statutory law. Bill further to amend the negotiable instruments act, 1881. Therefore, as per art 123, this ordinance shall cease to operate on the expiration of a period of 6 weeks w.
The ordinance amends negotiable instruments act, 1881. A perusal of the text of the ordinance clarifies the impetus for such promulgation and the urgency thereof. Whereas it is expedient to define and amend the law relating to promissory notes, bills of exchange and cheques. Negotiable instruments act amendmentsection 8 jurisdiction. The union cabinet has approved the promulgation of negotiable instruments amendment ordinance, 2015. Last week the union cabinet, chaired by the prime minister shri narendra modi, had given its. The ucc defines a negotiable instrument as an unconditioned writing that promises or orders the. Benefits of negotiable instruments amendment ordinance 2015. When the maker or holder of negotiable instrument signs the instrument with the intention. Section of the negotiable instruments act states that a negotiable instrument is a promissory note, bill of exchange or a cheque payable either to order or to bearer. The negotiable instruments amendment act, 2015 was passed in the lok sabha in may seeking to overturn a supreme court 2014 ruling said the case has. Jul 24, 2015 the president of india has promulgated the negotiable instruments amendment ordinance, 2015 no.
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