checked bounced, what punishment can I impose

I had received a post dated check for 15 sep 2009. The check has bounced, reason being account closed. The check has bounced on 3rd Oct.I would like to know the period up to which i can launch a legal preceding, the extent of punishment i can enforce on the party that had issued me the check.

You can file a small claims lawsuit against them. That is about the extent of what you can do to "punish" them. The court will more than likely award you the money in question. But good luck actually collecting on the judgment. If it's a significant amount, you can file a lien on their property, or ask that the judge do so.