12 Mar 2026 13:55 PM
Punjab & Haryana High Court
Punjab & Haryana High Court

Dishonour of Cheque--Mediation--All Pending and Fresh Cheque Dishonour Cases Must Be Sent for Mediation After Service -- State Need Not Be Impleaded

Cheque dishonour proceedings under Section 138 of the Negotiable Instruments Act, 1881 are quasi-criminal and primarily compensatory in nature. Trial courts must refer all such cases to mediation immediately after service of the accused. Sessions courts must similarly refer pending appeals and revisions upon service of the opposite party. The State need not be impleaded in such proceedings as they constitute private disputes; if impleaded, the name of the State shall be deleted to avoid delay in mediation.

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