Payment not received from party

himanshu (Querist) 23 May 2011 This query is : Resolved
We had executed work as a subcontratcor to one of engineering giants in India. Payment terms were 30 days. we havent received the same after a period of 1 years. Can we approach company law board and file liquidation case against the party or should be go ahead with a summary suit

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A V Vishal (Expert) 23 May 2011
Advise for suit for recovery of money.

himanshu (Querist) 23 May 2011
what is the viewpoint of company law board on such issues

Advocate. Arunagiri (Expert) 23 May 2011
Only if the company is not paying because of its financial constraints, sick etc., you can approach the CLB for liquidation.

For a normal collection you have to approach the civil court or arbitrator if it is mentioned in your contract.

Guest (Expert) 23 May 2011
SIR,
YOU ARE CONCERNED ABOUT YOUR RECOVERY OF MONEY.SO FILE A CIVIL SUIT IN CIVIL COURT FOR RECOVERY OF SAID AMOUNT.BUT KINDLY GIVE A LEGAL NOTICE AND MENTION ALL FACTS AND DEMAND THE PAYMENT OF ARREARS.AND IN CASE THE OTHERSIDE DO NOT RESPOND THEN FILE A CIVIL SUIT IN CIVIL COURT.YOU WILL SUCCEED.
ABOUT THE OTHER REMEDY YOU ENQUIRED,KINDLY NOTE THAT IN CASE YOU HAVE EASY AND PERFECT REMEDY THEN DO NOT SPOIL YOUR TIME AND MONEY ON UNNECESSARY LITIGATIONS.GOOD LUCK.

himanshu (Querist) 23 May 2011
Thank you Advocate arunagiri ..... so can u please give reference of the penal code number applicable under CLB which we can refer to. The party is citing financial constraints.

Guest (Expert) 24 May 2011
It all depends upon the terms contained in the agreement entered in to by the company with you. If that contains the provisions of arbitration on some dispute, you can at first raise your dispute about payment of amount as well as the damages for delayed payment of your dues against the terms of agreement.

ANIL AGARWAL (Expert) 24 May 2011
After issuing a proper statutory demand notice, you can file winding up peitition before a proper Court for winding up of the company.

M/s. Y-not legal services (Expert) 24 May 2011
As per your stated words you are a sub contractor. If any agreement between you and the main contractor mean you can move as per the agreement..

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