For Dishonour of an Account Payee Cheque, Complaint Must Be Filed at the Payee’s Home Branch Location; Court Interprets Section 142(2)(a) NI Act: Supreme Court

In a crucial ruling delivered on November 28, the Supreme Court settled the long-standing confusion regarding jurisdiction in cheque dishonour cases involving account payee cheques. The bench comprising Justice JB Pardiwala and Justice R Mahadevan held that complaints under Section 138 of the Negotiable Instruments Act, 1881 must be filed only before the court that has jurisdiction over the home branch of the payee, regardless of where the cheque is…