Negotiable Instruments Act

aCCORDING TO M EtHE cROSSED CHEQUE WILL NOT BE ENDORSE ......

bro

according to me also 

>>>>>>>> &co. between the crossed transverse lines on a cheque signify that it will get credtied to firm account only as it's a special crossing.

>>>>>>>crossed chequewhich is special crossing i.e a/c payee cheque cannot be negotiated further.

it will get credited only to payee accounts only and drawee bank will debit the drawer account on presenment of cheque  to bank,

provided cheque is not a post dated cheque n sign of drwer is correct n amount of cheque is properly writeen in figure as well as in words.

but there are only two effects of negtiable crossing:

one the title of transferee is not better than that of transferor

two these are transferable like other cheques

1. Crossed cheque ( without Account Payee) can be endorsed in another person's favour.  

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2. Account payee crossed cheuqe can't be endorsed. It is payable to the person in whose favour it given.

but sir i have read that account payee chaeques can be further negotiated

i have got totally confused now please help me out

Account payee cheque cannot be negotiated further. Only crossed cheque can be negotiated furhter. 

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In our commerce stream; the most relaxing point for the students is many terms can be understood very easily - just pay some  attention on the term. 

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Account Payee Cheque means cheque will be paid in the account in whose name it is drawn.

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Hope you doubt is now clear.  

Originally posted by : CA SURENDRA KUMAR RAKHECHA
	Account payee cheque cannot be negotiated further. Only crossed cheque can be negotiated furhter.

 rohit bhiya sir is rigth.

hmmm understud now......thank u so much