Q.A Cheque will become stale after ______ months.

Section 6 of the Negotiable Instruments Act, 1881 deals with the Cheque — option (b).

The Negotiable Instruments Act, 1881 defines the three main negotiable instruments in consecutive sections:

• Section 4 — Promissory Note
• Section 5 — Bill of Exchange
• Section 6 — Cheque …

A cheque becomes stale after 3 months from its date, so the correct option is (b).

A cheque is a bill of exchange drawn on a banker payable on demand. It must be presented for payment within a reasonable period of its date. Under banking practice in India, a cheque is valid for three months from the date written on it; after that it becomes a stale (out-of-date) cheque and the ban …

Section 123 defines general crossing; the answer is option (a).

Under the Negotiable Instruments Act, 1881, Section 123 defines a general crossing — where a cheque bears across its face two parallel transverse lines (with or without the words 'and company' or '& Co.', 'not negotiable'), directing that payment be made only through a banker and not across the counter. Special crossing, …