Bouncing check law now BP22 PDF

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Bouncing check law now BP - Took effect june 29, 19792019 table of specification - Describe the checks without insufficient funds - Identify the evidence of the knowledge of insufficient fund. - Explain the duty of drawee - Explain credit construedSpecific purpose of BP 22 - To put a stop to the har...

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Bouncing check law now BP22 - Took effect june 29, 1979 2019 table of specification - Describe the checks without insufficient funds - Identify the evidence of the knowledge of insufficient fund. - Explain the duty of drawee - Explain credit construed Specific purpose of BP 22 - To put a stop to the harmful practice of circulating valueless commercial papers. - To put a stop od issuing worthless check BP 22 is Mala prohibita / malum prohibitum - Special law that prohibits it. Examples: prostitution, selling of prohibited drugs, carrying of deadly firearms. Is BP 22 constitutional or not? - The gravament of BP 22 is the issuance of a worthless check, not the payment of an obligation. - BP 22 does not conflict with the constitutional prohibition against imprisonment of non-payment of debt. But the the issuance of a worthless check was the issue of BP 22. - Checks are not contacts, it only a substitute of money. - It does not violate equal protection clause - It does not involve undue delegation of legislative power of the payee. *Is BP 22 constitutional? YES, it is constitutional. It is an exercise of the police power of the state. *does it violate the non-imprisonment clause? NO, it penalizes the issuance of a worthless check not the non-payment of a debt. *does it violate the non-impairment clause? NO, checks are not contracts but are substitutes for money. They form part of the banking system.

What is a check? - A check is a bill of exchange drawn on a bank payable on demand. What are the checks covered by BP 22? - It covers ANY check, whether or. i) present dated check ii) postdated check iii) value iv) guarantee v) accommodation vi) Deposit check vii) Crossed check viii) Memorandum check ix) Foreign check Post-dated check – dated after it is issued and delivered. Accommodation check – For the purpose of lending a person’s name to another. Guarantee check – to guarantee the performance of principal obligation. Foreign check – is a check drawn against a foreign bank. Checks not covered by BP 22  Manager’s check  Cashier’s check *it is good as cash. Issuing a check Eto yung nilalagay mo yung name ng payee and amount and the signature of the payor. Funds Deposit of money or deposit of currency. Credit It is an agreement or understanding with the drawee bank for the payment of the check issued. Dishonored The check is dishonored, if being presented for payment, and it is refused or that payment cannot be made.

When the drawee bank dishonored a check it means, it refuses to pay the holder of the check. *the bank stamps, write or prints on the dishonored check the date the check is presented and the reason for the refusal to pay. IT IS IMPORTANT KASI ETO ANG EVIDENCE MO NA HINDI KA BINAYARAN Reasons 1. Stop payment – the drawer check inform the drawee bank not to pay the amount of the check. 2. DAIF – drawn against insufficient fund. 3. NSF – non-sufficient fund. 4. Closed account.

What is deemed to be a prima facie evidence of issuance of a bounced check under BP 22? - The unpaid check with the drawer’s refusal to pay stamped, written or printed on it. What if nawala ang check? Walang kaso kasi walang evidence. Evidence of knowledge of insufficient funds? - When presented within 90 days from the date of the check Importance of the knowledge of dishonor to establish a prima facie evidence of knowledge o insufficiency of funds?

DAIF – drawn against insufficient fund - Check is issued for an amount more than the actual available funds in a particular account. DAUD – drawn against uncollected deposit - Check is a banking phrase which is equivalent to a check with insufficient fund. Acts or offences punishable under BP 22 1. Any person who makes or draws and issues any check to apply on account or for value, PERO WALANG PONDO. 2. Any person who having sufficient fund with the drawee bank when he makes or draws and issues a check, shall fail to keep sufficient fund for a period of 180 days. *90 days period is not an element. It must be 180 days

Pag hindi binayaran merong DISHONOR BY NON PAYENT mag bibigay ka ng NOTICE OF DISHONOR para malaman na hindi binyaran ang check. The drawee bank will issue notice of dishonor sa drawer. Bbigyan niya ng (5) five banking days to pay the check. *if walang notice ng dishonor walang kaso. *notice of dishonor must be in writing. 3 basic obligation of the drawee bank 1. Stamping 2. Notice of dishonor 3. 5 banking days Obligation of drawer when the check bounces. - the drawer must make good the check by paying the holder or, - by making arrangement for its payment, - within 5 banking days Periods.

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5 banking days – to pay the bounced check 90 days – must maintain sufficient funds 180 days – failure of the payee to deposit or encash the check.

What is ESTAFA? Nag issue ng check na may halong fraud or decit. It must be postdated. *3 banking days to pay.

Liable under BP 22 - Natural person. Who signed the check - For corporation, who signed the check May an accused in a bounced check be given opportunity to prove that he/she is not liable? Yes, may due process. Who must receive the notice of dishonor? Notice is personal to the accused. Dapat siya hindi pinasabi sa iba.

Period of prescription.

Which court has jurisdiction over violation of BP 22? MTC has the exclusive original jurisdiction File of venue for BP 22? Violation of BP 22 can be filed at the places of issue, delivery and dishonor of the check *BP 22 is a transitory or continuous offense. Evidence required to convict? - Proof beyond reasonable doubt. Penalties under BP 22 1. Imprisonment not less than 30 days but not more than 1 year 2. Fine not less than but not more than double the amount of the check but not exceed 200,000 3. Both imprisonment and fine The decision is for the judge. Can a person be liable at the same time for BP 22 and estafa? Yes,

may double jeopardy ba? Wala.

Stale check – outstanding for 6 months or 180 days. Kiting or check kiting – not allowed....