Cheque must be presented to bank within 30 days, lawyer warns

Lawyer Abdullah Al-Baradi has cautioned that presenting a cheque to the bank within 30 days of receipt is crucial, or the holder may lose their rights. He emphasized that once a cheque is submitted, the bank has two choices: either pay the amount or issue a protest note for insufficient funds. Following receipt of the protest note, the cheque holder must then present it to the Enforcement Court within six months to maintain their right to claim the cheque as an enforceable instrument.

Additionally, the protest note must be reported to the police, as the situation constitutes a crime, after which the police will forward the case to the Public Prosecution for further legal action. The punishment for this offense can extend up to three years in prison and a fine of 50,000 riyals, as issuing a cheque without sufficient funds is deemed a criminal act.

Furthermore, Al-Baradi pointed out that in private claims, the cheque holder must also submit the protest note to the Enforcement Court within six months, as failing to do so converts the cheque from a commercial instrument to an ordinary debt, thus losing its enforceability.