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IN THE HIGH COURT OF JUDICATURE AT MADRAS
G.R.SWAMINATHAN, R.KALAIMATHI, JJ
R.Lingasekar – Appellant
Versus
P.Balakannan – Respondent
| Table of Content |
|---|
| 1. nature of the loan transaction (Para 1 , 3 , 4 , 10 , 11) |
| 2. evidence supporting the execution of the promissory note (Para 5 , 6 , 13 , 19) |
| 3. burden of proof and presumption in negotiable instruments act (Para 8 , 21) |
| 4. impact of procedural rules on evidence admission (Para 26 , 27 , 28) |
| 5. final judgment and decree (Para 29) |
JUDGMENT :
This Appeal Suit is preferred by the defendant against the Judgment and Decree dated 27.03.2017 passed in O.S.No.163 of 2013 on the file of the II Additional District Judge, Tiruchirappalli.
3. According to the plaintiff, P.Balakannan, S/o G.Paramasivam Pillai of Trichy, the defendant borrowed a sum of Rs.35,00,000/- (Rupees Thirty Five Thousand Only) on 05.01.2013 from the plaintiff for his urgent family expenses and on the same date, executed a promissory note in favour of the plaintiff agreeing to pay the said sum borrowed on demand with interest at 24% per annum either to the plaintiff or to his order. After repeated demands made by the plaintiff, the defendant issued a post-dated cheque in the first week of July 2013 drawn on Indian Overseas Bank, K.Sathanur Branch for Rs.39,42,000/- inclusive of interest due up to date. The date
Presumption of validity under Section 118 of the Negotiable Instruments Act remains unrefuted by the defendant, affirming enforceability of promissory note despite claims of fabrication.
The presumption of consideration under Section 118 of the Act is a statutory presumption and unless it is rebutted, it has to be presumed that consideration has passed.
A drawer of a cheque is presumed liable unless they provide evidence to rebut the presumption of issuance for debt repayment, established under Sections 138 and 139 of the Negotiable Instruments Act.
The mere admission of a signature on a Promissory Note does not invoke the presumption under Section 118 of the Negotiable Instruments Act without proof of execution and passing of consideration.
The presumption of consideration under Section 118(a) of the Negotiable Instruments Act applies when the execution of a promissory note is admitted, shifting the burden to the defendant to prove non-....
Execution of a promissory note raises a presumption of consideration; failure to rebut this presumption results in liability for the debt.
The appellate court found the promissory note invalid due to lack of consideration and conflicting evidence, leading to the dismissal of the plaintiff's suit.
The court emphasized that ocular evidence, such as the testimony of witnesses, can outweigh the opinion of a handwriting expert. The court held that the plaintiff's evidence, including the validity o....
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