Anti Bouncing Checks Law Flashcards
Elements of Violation of BP 22
- Making or Drawing a Check to Pay for Something
- Knowing You Don’t Have Enough Money
- The Bank Says “No” (Dishonors the Check)
If a check is presented within __ days from when it was written and it bounces, it’s automatically assumed that the person knew they didn’t have enough funds.
90 days
Even if you told the bank to stop the check from being paid, if it was because you didn’t have enough money and not for a good reason, the bank still won’t honor it, and it counts as a “bounced” check.
Valid Defense for the Drawer
- They can pay the person who received the check (the holder) the amount that was due on the check.
- Or, they can make arrangements with the bank to make sure the check gets paid in full.
The drawer has 5 working days, after receipt of notice, to make it right. True or False?
False
- 5 banking days
NOTE : If the accused is acquitted because there wasn’t enough evidence to prove guilt in a criminal case, it does not automatically mean they are off the hook for the amount of the bounced check.
They can still be held civilly liable and may be ordered to pay the value of the bounced check in a civil lawsuit.
Yes
Penalty for BP 22
- Imprisonment
- Fine
- Both
What is the period of imprisonment?
How much is the fine?
Imprisonment - 30 days to 1 year
Fine - 2x amount of bounced check (MAX = 200K)
What is the prescriptive period for BP 22?
4 years from commission of offense
BP 22 vs Estafa
- mala in se
BP 22: This is a mala prohibita crime, which means it’s wrong because the law says so. It’s about making sure people don’t give bad checks.
Estafa: This is a mala in se crime, meaning it’s wrong by nature, because it involves tricking or cheating someone.
BP 22 vs Estafa
- against public interest
BP 22: It’s about public interest. The law cares about stopping bad checks to protect everyone.
Estafa: It’s about property. The goal is to stop someone from cheating another person to steal their money or property.
BP 22 vs Estafa
- if the check is issued to pay a pre-existing obligation, there may still be liability.
BP 22: The person who writes the bad check may still owe money, but the law doesn’t automatically say they are guilty of fraud.
Estafa: No deceit, thus no estafa
BP 22 vs Estafa
- good faith can be a defense
- presence of deceit and damage is required
BP 22: If the person who wrote the bad check was acting in good faith, it doesn’t count as a defense. Even if they didn’t mean to cheat, they can still be guilty.
Estafa: If the person was acting in good faith, it can be a defense. If they didn’t mean to deceive anyone, they might not be guilty.
BP 22: No deceit is needed. It’s about the check being bad, not about tricking anyone.
Estafa: Deceit is required. The person has to trick or deceive the other person to get something they shouldn’t have.
BP 22: No damage is required. The main issue is that the check didn’t work, not whether someone lost money.
Estafa: Damage is required. The victim must have lost money or property because of the deceit.
BP 22 vs Estafa
- accused needs to be the one who draw AND issue the check
BP 22: The crime happens both when the check is written and issued. It’s the whole process of writing a check when there’s not enough money.
Estafa: The crime is complete just by issuing a deceitful promise or act, like lying to get money.
BP 22 vs Estafa
- has 5 banking days to make it right
BP 22: The person who gave the bad check has 5 banking days to fix it, or else they might be in trouble.
Estafa: They have only 3 days to fix the situation before it becomes a crime.
NOTE : One can be in violation of BP 22 and Estafa at the same time.
Yes
