Transactions (lendenbhyabhar)

Meaning

• Transactions simply means an instance of buying or selling something.
• According to Cambridge Dictionary transactions means an occasion when someone buys or sells something, or when money is exchanged or the activity of buying or selling something.
• Private transactions are defined, for the purposes of purchase and sale agreements, by the existence of a known, identifiable seller.

Chapter-15�Provisions Relating to Transactions �लेनदेन व्यवहार सम्बन्धी व्यवस्था(sec 474-492)

• Sec 474.Transaction deemed to be made: लेनदेन भएको मानिने
• (1) If there is give-and-take of any amount or goods between two or more persons subject to any condition, transaction shall be deemed to have been made between them.
• (2)If a transaction is made pursuant to sub-section (1),the receiver of amount or goods shall return the same to the giver of amount or goods.
• Explanation: For the purposes of this Chapter, the term “amount” includes the price of a goods.

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• Sec 475. Loan deemed to be borrowed: ऋण लिए सरह मानिने
• If a person has an obligation to pay any amount or goods to another person in any manner, such obligation shall be deemed to be a loan borrowed by that person, and such a person shall return such amount or goods to the concerned person, subject to the provisions of this Chapter.
• Sec 476. Transaction not to be carried on without executing deed:

लिखत नगरी लेनदेन गर्न नहुने

• No person shall carry on transaction without executing a deed in accordance with law. Explanation: For the purposes of this Chapter, the term “deed” means any document that substantiates a transaction including a cheque, bill, voucher and receipt.

• Sec 477. Matters to be set out in deed: लिखतमा खुलाउनु पर्ने कुराहरू
• In carrying on a transaction, the following matters shall be set out in the deed according to the nature of transaction:
• (a) Name, surname, age and address of each person involved in transaction, and name of his or her father, mother, grand-father and grand-mother, Provided that in the case of a married person, the name of his or her husband or wife, as the case may be, shall also be mentioned.
• (b) Reason for transaction,
• (c) Volume of transaction,
• (d) In the case of transaction of any good, price of such goods,
• (e) In the case of exchange of any goods by way of borrowing, loan or otherwise, the matter to that effect,
• (f) Details of the goods, if any, exchanged

• (g) Date for repayment of the transacted amount,
• (h) Rate of interest, if any, payable on the transaction,
• (i) Matter that the creditor may recover the amount involved in the transaction from the borrower's assets in the event of failure to repay such amount within the specified time or to fulfill the other conditions set forth in the deed,
• (j) Place of the deed executed,
• (k) Date of the deed executed,
• (l) Such other matters as required to be set out according to the nature of transaction.

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• Sec 478. Entitlement of creditor to interest from debtor: साहूले ऋणीसँग ब्याज लिन पाउने
• (1) If a deed on transaction provides for the payment of interest, the creditor may collect the interest from the debtor as set forth in the deed.
• (2) The amount of interest which the creditor is entitled to collect from the debtor pursuant to sub-section (1) shall not exceed ten percent of the principal per annum.
• (3) If the deed executed pursuant to sub-section (1) does not provide for the rate of interest but only for the payment of interest, the creditor may collect interest from the debtor at the rate of ten percent of the principal per annum.
• (4) If the deed executed pursuant to sub-section (1) provides for the payment of profit instead of interest but does not specify the amount of such profit, the creditor may collect such profit from the debtor as if it were interest.

• Sec 479. Creditor not allowed to collect interest from debtor: साहूले ऋणीबाट ब्याज लिन नपाउने
• If the deed on transaction does not provide for the payment of interest, the creditor shall not collect interest from the debtor.
• Sec 480. Compound interest not to be collected: ब्याजको ब्याज नपाउने
• (1) The creditor shall not collect compound interest from the debtor.
• (2) If any creditor collects compound interest from a debtor in contravention of sub-section (1), such interest shall be deducted from the principal and refunded if the principal has already been repaid.

• Sec 481. Interest in excess of principal not to be collected: साँवाभन्दा बढी ब्याज लिन नपाउने
• Notwithstanding anything contained elsewhere in this Chapter, the creditor shall not collect interest in excess of the principal.
• 482. Procedures to be fulfilled in paying and collecting principal and interest: साँवा, ब्याज लिँदा दिँदा रीत पु¥याउनु पर्ने
• The following procedures shall be fulfilled in paying and collecting interest:
• (a) If the debtor repays the whole of the principal and interest, the creditor shall sign and return the deed on transaction to the debtor by tearing out the deed or indicating on its space or reverse side that the loan has been repaid,

• (b) If the deed is not found at the time of repayment of the principal and interest pursuant to clause (a), the creditor shall give the debtor a receipt indicating the receipt of the particular amount on the particular date,
• (c) In repaying some amount out of the principal and interest, the creditor shall indicate on the reverse side of the deed how much he or she has received from the debtor on which date, and get the debtor to sign the deed and issue a separate receipt of amount accordingly if the deed is not found immediately or it is not with the creditor for the time being.

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• Sec 483. Interest accruable as of the date of recovery of amount: रकम भराएको मितिसम्मको ब्याज पाउने
• Notwithstanding anything contained elsewhere in this Chapter, if the court passes a judgment on a lawsuit, if any, made within the period under Section 484 entitling the creditor to recover interest as well, the creditor shall be entitled to the interest as of the date of recovery according to the judgment
• 484. Period of deed executed in household: घरसारमा भएको लिखतको अवधि
• (1) The period of a deed executed in household pursuant to this Chapter shall not exceed ten years.
• (2) Notwithstanding anything contained in sub-section (1), if the debtor repays some of the principal or interest thereon to the creditor or the term of a deed is extended for the repayment of principal or interest within the period of ten years, another period of ten years shall be extended from the date of such repayment of principal or interest or extension of the period, as the case may be.

• Sec 485. Transaction carried on with incompetent or quasi-competent person not to be recognized: असक्षम तथा अर्धसक्षम व्यक्तिसँग गरेको लेनदेनले मान्यता नपाउने
• A transaction carried on by a person with an incompetent or quasi-competent person shall not get legal recognition.
• Sec 486. Recovery of amount not available from property in common:

सगोलको सम्पत्तिबाट रकम भराई लिन नपाउने

(1) If any person carries on transaction with another person and the deed of such transaction does not bear the signature of the person acting as the head of family, the creditor shall not be entitled to recover his or her amount from such property until the debtor's right in the property in common is established.

• (2) Notwithstanding anything contained in sub-section (1), if the person acting as the head of family repays such amount, the creditor may recover the same. (3) If any person is not able to recover the amount from the debtor on the occurrence of the circumstance referred to in subsection (1), the creditor shall make a lawsuit against the debtor and maintain his or her right within a period of ten years.

• (4) In the event of the maintenance of the right with the debtor pursuant to sub-section (3), the creditor may recover his or her amount from the debtor in accordance with law after his or her right in the property in common has been established.
• (5) The statute of limitation for making a lawsuit shall, for the recovery of the amount pursuant to sub-section (4), commence from the date of establishment of the debtor's right.

• Sec 487. Exchange of movable property not allowed without consent:

मञ्जुरी नलिई चल सम्पत्ति सट्टा पट्टा गर्न नहुने

• (1) A person of majority age in a joint family is not allowed to exchange any movable property in common without consent of the person acting as the head of family. Provided that the consent of the person acting as the head of family shall not be required to exchange his or her private property.
• (2) If a person exchanges a movable property in contravention of sub-section (1), the exchange of such property shall not be valid if the person acting as the head of family does not consent to such exchange.
• (3) If there is no consent of the person acting as the head of family to the exchange of movable property made in contravention of sub-section (1), the property so exchanged may be taken back within thirty-five days.

• Sec 488. Recovery of amount if transaction appears to have been carried on: लेनदेन गरेको देखिएमा रकम भराई दिने
• Even though any person does not execute a deed by fulfilling the procedures referred to in this Chapter, if it appears from any deed, banking transaction, negotiable instrument, cheque, voucher or book of account that transaction has been carried on with any person, the court may, based on such deed, banking transaction, negotiable instrument, cheque, voucher or book of account, order the recovery of such amount from the debtor to the lawsuit maker.

• Sec 489. Procedure to be followed if deed executed on household is lost or destroyed due to force majeure event: घरसारको लिखत हराए वा काबू बाहिरको परिस्थिति परेमा गर्ने
• (1) If a deed executed in household is lost or destroyed due to a force majeure event, the creditor shall make an application, setting out the matter, to the concerned Local Level within fifteen days from the date of loss or occurrence of the force majeure event.
• (2) If an application is made pursuant to sub-section (1), the concerned Local Level shall draw up a receipt setting out the matter and issue the receipt, sealed with the stamp of the office, to the applicant.
• (3) If an application is made pursuant to sub-section (1), the Local Level shall summon the presence of the deed executor, if he or she is alive, and of the nearest heir, if such executor is not alive, within seven days, and cause a deed to be prepared as per the original deed, if he or she so consents, and authenticate such deed and deliver it to the applicant.

• (4) If the deed executor does not consent to execute another deed indicating that the deed was lost or destroyed due to a force majeure event pursuant to sub-section (3), the creditor shall make a lawsuit and maintain his or her right, showing the evidence of the loss of deed or occurrence of the force majeure event, within thirty-five days of the expiry of that time-limit.

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• Sec 490. To return goods transacted in the event of imperfection: लेनदेन गरेको वस्तु कच्चा भएमा फिर्ता गर्नु पर्ने
• (1) Except as otherwise provided for in the deed, if the receiver of any goods transacted with specification of price is not able to possess the goods due to the fact that the goods do not correspond to that set forth in the deed or are imperfect for any reason, he or she shall give a notice thereof to the giver of goods within thirty-five days of such transaction.
• (2) If a notice is received from the receiver of goods pursuant to sub-section (1) and his or her statement appears to be reasonable, the exchange of goods shall be made if the giver has similar other goods, and if the giver does not have such goods, he or she shall get back his or her goods and cancel the deed executed in relation to such transaction.
• (3) If the giver of goods refuses to exchange or to take back the goods pursuant to sub-section (2), the receiver of goods may make a lawsuit to have recovery of an amount equivalent to the price of such goods and a reasonable compensation for the loss and damage caused to him or her from the concerned person or get such transaction to be void.

• Sec 491. To return goods in original condition: यथास्थितिमा वस्तु फिर्ता गर्नु पर्ने]{
• (1)If any person obtains or borrows for any specific purpose any goods owned or possessed by another person whether for rent or not or for borrowing or not or on any other terms and conditions, the person shall, after the completion of the purpose, return the goods that are the same in kind, quantity and quality as have been so acquired or borrowed, to the owner or possessor.
• (2) If the goods obtained pursuant to sub-section (1) are lost, broken, destroyed, out of order or otherwise damaged, except as otherwise provided for in the deed, the person obtaining such goods shall return similar other goods to the owner or possessor or pay to the owner or possessor an amount equivalent to the prevailing market price of such goods if similar other goods are not available.

• (3) Except as otherwise provided for in the deed in relation to the return of, or payment of rent or amount for, the goods pursuant to sub-section (1) or (2), such goods or rent shall be returned or paid to the owner or possessor within fifteen days after the completion of the purpose for which the goods were obtained.
• (4) If the person obtaining the goods fails to return or pay the goods or amount to the owner or possessor within the time-limit under sub-section (3), the aggrieved person may recover the amount of such goods and a reasonable compensation, as well, for the loss caused to him or her.

• Sec 492. Statute of limitation: हदम्याद \

(1) There shall be no statute of limitation for making a lawsuit in the matter of transaction carried on with intent to take rights to, misappropriate, cause loss to, or disorder, the property of an incompetent and quasi-competent person or in the matter of collection of compound interest or collection of interest in excess of ten percent.

• (2) Except as provided for in sub-section (1), a person who is aggrieved from any act done or action taken pursuant to this Chapter may make a lawsuit as follows from the date of such act or action:
• (a) Where this Chapter provides for a separate statute of limitation for making a lawsuit, within such limitation,
• (b) Within a period of one year from the date of expiration of the period, if any, specified in any deed, and failing such a deed, or in the other cases, from the date of accrual of the cause of action.