Commercial Transactions Law · Federal Decree-Law 50 of 2022
Article 648
Book Four: Commercial Papers > Part Three: Cheques > Chapter Three: Payment of Cheques
English translation
1. The Cheque shall be due for payment on the day indicated as the date of its issuance, and the Cheque may not be presented for payment before such date.
2. If the funds for payment is less than the value of the Cheque, the Drawee shall pay it partially up to the sum available to them, unless the Bearer refuses the same. In the event of partial payment, the Drawee shall make an annotation, every time a partial payment is made, on the back of the Cheque indicating the same, and shall hand over to the Bearer the original Cheque and a certificate of such payment. The Bearer's right to claim the remainder is established by the original cheque marked in accordance with Article (667) of this Law, or by filing a protest after the expiration of the deadlines stipulated in Article
(663) of this Law.
3. The Drawee shall notify the Central Bank of the account holder's data, in accordance with the rules and regulations issued by the Central Bank in this regard, in any of the following cases: a. If the Cheque does not have an adequate amount of funds for payment that is current and subject to withdrawal on its maturity date. b. If the Drawer, after issuing the Cheque, recovers all funds for payment so that the Cheque cannot be cashed. c. If the Drawee partially pays the Cheque in accordance with Clause (2) of this Article.
Official translation, as published by the portal.
Official Arabic text
.1 يكون الشيك مستحق الوفاء في اليوم المبين فيه كتاريخ لإصداره، ولا يجوز تقديم الشيك للوفاء قبل ذلك التاريخ.
.2 إذا كان مقابل الوفاء أقل من مبلغ الشيك، فعلى المسحوب عليه الوفاء الجزئي بالقدر الموجود لديه ما لم يرفض الحامل ذلك، وعلى المسحوب عليه في حال الوفاء الجزئي أن يؤشر عند كل وفاء جزئي على ظهر الشيك بما يفيد ذلك وأن يسلم الحامل أصل الشيك وشهادة بهذا الوفاء، ويثبت للحامل حق الرجوع بالباقي بأصل الشيك المؤشر عليه وفقاً للمادة (667) من هذا القانون، أو بعمل احتجاج بعد انقضاء المدد المنصوص عليها في المادتين (663) من هذا القانون.
.3 على المسحوب عليه إخطار المصرف المركزي عن بيانات صاحب الحساب، وفقاً للأنظمة والقواعد التي يصدرها المصرف المركزي في هذا الشأن، في أي من الحالات الآتية: أ. إذا كان الشيك ليس له مقابل وفاء كاف قائم وقابل للسحب في تاريخ استحقاقه. ب. إذا استرد الساحب بعد إصداره الشيك كل مقابل الوفاء به بحيث لا يمكن صرفه. ج. إذا قام المسحوب عليه بالوفاء الجزئي للشيك وفقاً للبند (2) من هذه المادة.
What it means when you sign
This article governs when a cheque can be paid. A cheque falls due on the date written on it as its issue date, and it cannot be presented for payment before that date. If the funds available are less than the cheque amount, the bank pays the part it holds unless the holder refuses. In that case the bank notes each partial payment on the back, hands the holder the original cheque and a certificate of payment, and the holder keeps the right to claim the remainder using the marked cheque or a protest, as the article describes. The bank must also notify the Central Bank of the account holder's data where the funds are inadequate on the due date, where the drawer withdrew the funds after issuing, or where there was a partial payment.
When you are about to sign or accept a cheque, this article means the written date matters, and a post-dated cheque cannot be presented earlier. A drawer of a cheque without enough funds on the due date may be reported to the Central Bank.
In Fahm reports this article usually sits under: Ambiguity and gaps
Related articles
- Article 649Cited in Fahm reportsThis article sets the period within which a cheque must be presented for payment.
- Article 650This article deals with a cheque drawn between two countries that use different calendars.
- Article 86This article deals with interest on late payment of commercial debts.
- Article 87This article lets a creditor ask for extra compensation on top of delay interest, but only where the creditor proves that the loss beyond that interest was caused by the debtor's deception or serious error.
- Article 88Cited in Fahm reportsThis article bars a creditor from claiming compound interest, meaning interest charged on interest that has already built up and remains unpaid.
- Article 89This article covers instruments for paying money or delivering goods.