Dass Ratna v. Kunj Bihari

Facts

• A cheque was issued with a specific date
• The date was subsequently altered without the drawer's consent
• The cheque was presented for payment after the alteration
• The drawer contested payment

Issue

1. Whether alteration of the date on a cheque constitutes material alteration under S.87 of the NI Act.

Held

• Date is a material part of a negotiable instrument. Its alteration without consent of all parties vitiates the instrument under S.87. A cheque with an altered date (without the drawer's authenticated consent) is void. The paying banker is protected in refusing payment on a visibly altered instrument.

Ratio Decidendi

Alteration of date is material alteration under S.87. The instrument becomes void against parties not consenting to the alteration. The banker may refuse payment.