31 May 2020
Sir I booked a kalyanamantap for date 2-7-2020 at chennai.My son who has to come from USA for his son's upanayanam could not come here due to Corona outbreak both in India and USA.So I cancelled the booking as early as May 4 th of 2020 through SMS to the Mantap owner. Now the mantap owner refuses to refund the advance of Rs 25000 paid during Feb 2020.What is the recourse to me and if so what is the proceedure and can I get back the full refund.Please enlighten me Gurumoorti
31 May 2020
Have you executed any agreement or settled in writing the terms of the booking including the consequences of the cancellation. If yes, then act accordingly and if not then personally meet him and try to settle the issue. You may take help of some VIP person of the locality.
01 June 2020
This seems to be what is called a 'frustrated contract' where Section 56 of the contract act would apply.
'Frustration of a contract' makes the contract void, and discharges the parties of the contractual obligations.
However, under Section 65 of the Act when an agreement has become void, the person who has received any advantage under such agreement is 'bound' to restore it or to make compensation for it, from whom he received it.
The section applies to contracts rendered void by frustration, occured without the fault or control of either party during Covid lockdown period too.
Kindly examine this aspect with the help of a local lawyer, learned in commercial/contract law. This is an under utilised and less known area for our ordinary lawyers.
An article published by me to provide an overview of this kind of issue, is available at http://lawwatch.in/2020/04/18/force%20majeure/
02 June 2020
Please refer the terms and conditions of booking. What were the conditions for refund entitlement in case booking is cancelled by your side? If under the agreed terms, the amount should be refunded, you are entitled. Show all documents to local lawyer and may file case for recovery if agreed terms so warrant.
30 June 2020
The mantapam owneragrees for refund but he is not specifying the date. He says that the refund will be made only after the pandemic situation goes off or else as soon as he receives money.Is it correct to take when there is no specific committment on the part of him Please enlighten Gurumoorti