1. (b) Highlight five instances when a legal bar exists as to payment of a customer's cheque. (10 marks)

Certainly! Here are five instances when a legal bar exists as to the payment of a customer's cheque:1. **Bankruptcy or Insolvency**: If the customer is declared bankrupt or insolvent, the bank may place a legal hold on the cheque, preventing it from being honored to protect the customer's creditors.2. **Fraud or Forgery**: If the cheque is suspected to be fraudulent or forged, the bank may refuse to honor it to protect itself and the customer from potential financial loss.3. **Post-Dated Cheques**: If the cheque is post-dated and the date has not yet been reached, the bank will not honor it until the specified date, effectively creating a legal bar to payment until then.4. **Stop Payment Orders**: If the customer or the bank issues a stop-payment order on the cheque, the bank will not process it, effectively creating a legal bar to payment.5. **Legal Holds or Freezes**: In situations where a legal dispute arises, a court may issue an order to freeze or hold the customer's assets, including any cheques, preventing them from being used until the dispute is resolved.These instances represent situations where legal or regulatory frameworks prevent the payment of a customer's cheque to protect the interests of the customer, the bank, or other parties involved.