Landmark case · Law of Banking and Negotiable Instruments · Semester 5

Indian Overseas Bank v. Industrial Chain Concern

AIR 1990 SC 1423 · Supreme Court of India

A collecting bank must act in good faith and without negligence to claim the protection of section 131.

From topic

Paying and collecting banker; forged cheques — Unit II, Law of Banking and Negotiable Instruments.

Related sections:

Negotiable Instruments Act, 1881, 10 — Payment in due course
Negotiable Instruments Act, 1881, 85 — Cheque payable to order
Negotiable Instruments Act, 1881, 131 — Non-liability of banker receiving payment of cheque