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If a Canadian financial institution inadvertently accepts and processes a cheque before the due date, the cheque writer may ask his or her financial institution to return the amount until the day before the cheque should have been cashed. Section 68 of Indian Stamp Act declares that a person who draws a post dated cheque and the person who presents a post dated cheque for payment will be liable to be fined Rs. The two major issues before the courts are: 1) Post-dated cheques that are stopped by the bank or issuer, causing problems for whoever is to be paid by the cheque for goods or services provided and; 2) the reverse, in which a person is promised goods or services but does not receive them and has to stop the cheque.
In the UK the legislation is clear; 'A cheque is a bill of exchange drawn on a banker payable on demand'.
The machines that read checks process a lot of information, but they don’t look at the date, said Nessa Feddis, senior vice president and deputy chief counsel for consumer protection and payments at the American Bankers Association’s Center for Regulatory Compliance.
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