Bank Liable for Deficiency if Cheques Not Presented Within Validity; Compensation Must Be ‘Reasonable’, Not Speculative: Supreme Court

The Supreme Court of India has affirmed that a bank, acting as an agent for its customer, is under a legal obligation to exercise due diligence in presenting cheques for collection within their validity period. The Court held that a failure to do so, resulting in the instrument becoming stale without a reasonable explanation, constitutes

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