Who can Cross?

Drawee of the cheque can cross a cheque generally or specially. A holder, however, can not convert special crossing into general crossing, because such alteration is a material alternation and needs confirmation by the drawer. The bank to whom the cheque is crossed specially may again cross it specially to another bank who acts as his agent for collection.

01. The drawer: The drawer can make general, special or restrictive crossing on a cheque before issuing it.

02. The holder: (i) Where a cheque is uncrossed, the holder may cross it generally or specially.

(ii) Where a cheque is crossed generally, the holder may cross it specially.

(iii) Where a cheques is crossed generally or specially the holder may add the word "not negotiable".

03. The banker: Where a cheque is crossed specially, the banker to whom it is crossed may again cross it specially to another banker to work as its agent for collection. It is to be noted that a cheque can be specially crossed only once except where the second crossing is to a banker as agent for collection.