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Thursday, December 21, 2017

Dishonour of cheque-Legally enforceable debt-Cheque in question issued to advocate towards fees claimed on basis of percentage of subject-matter in litigation-Mere issuance of cheque by client may not debar advocate from contesting liability-If liability is disputed

2017 CJ(SC) 1438
Subject: Constitution, Dishonour of Cheque

*Negotiable Instruments Act, 1881, Section 138-Contract Act, 1872, Section 23-Advocates Act, 1961, Section 49(1)(c)-Dishonour of cheque-Legally enforceable debt-Cheque in question issued to advocate towards fees claimed on basis of percentage of subject-matter in litigation-Mere issuance of cheque by client may not debar advocate from contesting liability-If liability is disputed, advocate has to prove contract-Claim of fees by advocate based on percentage of subject-matter in litigation is against public policy and act of professional misconduct-Cannot be basis of complaint under Section 138-Liable to be quashed-Appeal disposed of.

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