Criminal Trident Pack: IPC, CrPC and IEA by Sr. Adv. G.S Shukla and Adv. Raghav Arora
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Fraud by franchisor

(Querist) 19 August 2010 This query is : Resolved 
On 4th may 2010, I applied for a franchise of immigration services co Mataflex Technologies in Chandigarh. The franchisee manager during our discussion confirmed to me that I have to pay only Rs 1 lac as one time fee. On her confirmation that I have to pay only Rs 1 lac one time I paid Rs 50,000 same day itself . The payment was made through my father's credit card. The franchise document was mentioning the tenure as one year but the franchisee manager told me that she will make the cutting in the document after consulting her legal advisor and asked me to sign on right hand side of clause so that after cutting she will counter sign on the cutting. On our second visit to chandigarh, we made the balance payment of Rs 50000 through my father's credit card but we were not given the franchise document.Few days later I received the copy of agreement without any changes . On inquiring I was given a lame excuse. On my third visit, I came to know that the agreement is for one year only.I was shocked after hearing this. I was fooled into signing the franchise agreement by giving false / wrong information and fraudalently. The agreement states that any dispute arising would be in jurisdiction of Chandigarh where as I am based in Faridabad, haryana. Also it states that the fee paid is non- refundable. Kindly guide how can I claim back my money from this company and take them to court for doing a fraud with me? Under which sections can I book them for fraud, wrong commitment and mental and financial harressment?

Devajyoti Barman (Expert) 19 August 2010
You could file case for recovery of money. Suit for specific performance would not be fruitful. You could also file criminal case for cheating, fraud etc.
s.subramanian (Expert) 19 August 2010
yes. i agree.
Sangeeta (Querist) 27 August 2010
Dear Devajyoti Ji,

Pls tell what u mean by suit for specific performance?
Surrender K Singal (Expert) 17 September 2010
Suit for recovery and Criminal complaint with Economic Offence Wing of Haryana Police may be worthwhile to pursue
Rasik Dagli (Expert) 22 September 2010
You may file a case for refund of money paid by you . In addition to deceptive practice one of the ground should be that other side has committed breach of trust.
However I think that you will have tough task in proving your case. You will have to submit to the Jurisdiction of court mentioned in the agreement.IOf you will ignor this your suit will be dismissed on the ground of lack of Jurisdiction.
Please take utmost care. Never pay money in anticipation of an agreement. First get the drft of agrement, satisfy your self that it incorporates all that is orraly agreed between parties. Pay money only at thye time of signing the agreement by both the parties.

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