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REPLY TO A LEGAL NOTICE UNDER SECTION 138
INTRODUCTION
The legal notice is essentially a formal document served to the individual for the course of initiating the legal proceeding against the concern if the demands mentioned in the notice are not fulfilled. Therefore, the object of serving the legal notice is to notify the party concerned about the intention of initiating the legal suit against the same, hence, making the other party aware of the grievance. It is the procedure that legalizes bringing the case to court.
Under this article, we shall discuss the intimation made to the party under Section 138 of the Negotiable Instruments acts, and about what recourse one must take in order to reply to the legal notice.
OBJECTIVE OF THE LEGAL NOTICE
Under the law, the person initiating the lawsuit serves legal notice as a warning to the recipient enumerating the sender’s intention of initiating the legal proceeding against the concern. It compels the other party to respond quickly so that the initiation of a lawsuit can be avoided, it also provides the opportunity to the recipient of the notice to cordially resolve the issue and it can therefore be settled outside the court itself.
LEGAL NOTICE UNDER SECTION 138 OF NEGOTIABLE INSTRUMENT ACT, 1881
Under the law, in case the cheque is dishonoured, the notice has to be served by the unpaid creditor to the defaulting debtor. The said notice has to be issued within 30 days of receiving the information from the bank, giving the defaulter the time of 15 days to fulfil the demands or to reply to the served legal notice. In case, if the money has not been repaid within 15 days by the recipient, then the lawsuit can be instituted by the sender after the completion of 15 days period.
The said legal notice must include all pertinent information about the transaction, the cheque, and the dishonour.
WHAT ONE MUST DO UPON RECEIVING THE LEGAL NOTICE
Upon receiving the legal notice, the recipient is advised to seek legal assistance. Thereafter, the recipient must send an appropriate reply to the legal notice received within 15 days from the date on which it is received. If the recipient fails to respond to the legal notice, the other party may accuse the recipient of not adhering to the notice’s requirement while drafting the petition.
Suppose in the recipient’s opinion, the facts stated in the legal notice are false. In that case, the recipient with the assistance of the lawyer should file counter claim to the said contents of the legal notice received. Such notice must be sent via registered post or courier.
The lawsuit will be instituted by the sender if the recipient fails to respond to the legal notice within the stipulated time period. Also, if the complete amount is paid by the recipient within the period of 15 days from the date of receiving the notice, there will be no offence committed by the recipient hence no further legal proceedings would take place.
Conclusion
Responding to the legal notices is one of the significant steps, which may result in resolving the dispute amicably without the trial being commenced. A lawyer’s drafting skills and the importance of the facts included in the legal notice determine how effective it is.
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