Though your question is not very clear, from your question, it appears that the cheques were given as consideration for doing some work and the work has not been done; despite that the cheques were presented to the bank and the same bounced upon which case under Section 138 of the Negotiable Instruments Act has been filed.
It this is correct, then please note that as per the legal requirements under Section 138, cheque should have been issued for payment of money for the discharge, in whole or in part, of any debt or other liability. Thus, if the cheque is issued for purchasing some goods or for payment for some services rendered or for some earlier debt or for payment of salary for some work done, etc., the offence under this section may be attracted. Moreover, the Explanation to Section 138 clarifies that “debt or other liability” means a legally enforceable debt or other liability. If the work for which the cheque was issued, has not been done, then it may not amount to legally enforceable liability or debt. So, you can try to use this defence.
Dr. Ashok Dhamija is a New Delhi based Supreme Court Advocate and author of law books. Read more about him by clicking here. List of his Forum Replies. List of his other articles. List of his Quora Answers. List of his YouTube Videos.
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