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Negotiable Instruments Act, 1881

Section 106, NI Act: Reasonable time of giving notice of dishonour

Pundora · Published 3 October 2026

Section 106 of the Negotiable Instruments Act, 1881, in the Act's own words.

The section

106. Reasonable time of giving notice of dishonour.

If the holder and the party to whom notice of dishonour is given carry on business or live (as the case may be) in different places, such notice is given within a reasonable time if it is dispatched by the next post or on the day next after the day of dishonour. If the said parties carry on business or live in the same place, such notice is given within a reasonable time if it is dispatched in time to reach its destination on the day next after the day of dishonour.

The text is India Code's consolidated text as loaded into Pundora's statute corpus on 1 September 2026. A section quoted in a draft checked by Pundora is checked against this text.

Sources

  1. India Code: Negotiable Instruments Act, 1881, section 106 (read 1 September 2026)

The Act's own words, from India Code. If the text here differs from the Gazette, the Gazette governs; write to contact@pundora.in and it will be corrected and dated.