Monday, August 18, 2025

Cheque Dishonour and Negotiable Instruments Act, 1881 : Can Principles of Civil Procedure be Applied in Such Cases ?

Cheque Dishonour and Negotiable Instruments Act, 1881 : Can Principles of Civil Procedure be Applied in Such Cases ?

Dayawati v. Yogesh Kumar Gosain [2017] GCtR 6323 (Delhi) has explained issues related to Negotiable Instruments Act, 1881. It was held that there appears to be no reason as to why the principles which apply to consideration of a settlement under Order XXIII Rule 3 ("Compromise of suits") of the Code of Civil Procedure, 1908 cannot be applied for consideration of a settlement which is the subject matter of consideration by a court under Section 320 of the Code of Criminal Procedure, 1973 or Section 147 of the NI Act.

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