Hotel harassing us for cancellation of advance cheque


i had booked a hotel for my sister's wedding(for october ) on 10th may 2016 with 10000 cash and 90000 by cheque . we had agreed per plate rate and decor charges  were to be decided..as soon as the manager recieved the advance he  started delaying talks about decor and then said  come 1 month before the wedding date and we will decide the decor and one of the hotel staff said decor goes upto 35 lacs...i smelled something fishy and started researching and came across a friend who had a harrowing experience with the same hotel. the staff had increased there pices at the last moment and he couldnt cancel his function because no other banquet halls were available so he ended up paying over the odds..i also came across a very similar negative review on tripadvisor..i made up my mind to cancel and book another place and told my bank to stop the cheque on the 16th may 2016..now he is threatening us with legal action...am i liable to pay this hotel and what can be the legal consequences of this... also by the information i could gather i was paying him for performance of a contract which he is  no longer going to perform..am i liable to pay the amount to him.. thanks in advance to all helpers

 
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Retired employee.

Don't worry, You have fixed 5 months in advance and cancelled within 5 days. Immediately issue a Registered notice demanding for refund of the money stating all what you heard nand specifically state that the date of your booking and cancellation

Wait till that date you have fixed as marriage, and if it is an auspicious day, he might earn lakhs as profit and he has not constructed the Marriage Hall only for facilitating you.  This is normal in business, there are enough reasons for cancellation.  Let him go to any extent and he is bound to lose the case.

Registered notice is a must, as bouncing of cheque is involved and to protect yourself on Sec.138

 
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thank you mr. prasad..what are the ways of sending a registered notice because i am a novice in legal matters...do i have to go through a lawyer or can i do it myself ?

 
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Retired employee.

Any one can give simple notice that records facts.

Regd. Ack due.

To.

 

I,.......................hereby issue the notice as follows:

1.I have on ...called on you, and booked the hotel for marriage function on.....and first blocked the date .  I have paid Rs.10,000/- as token advance and issued cheque no....for Rs....as you have insisted it as condition for further discussions.

2.However certain things like decor was not finalised, and I was asked to come one month before marriage date for fixing of decor charges.  I was informed that the decor charges amounts to Rs.35 lakhs which was on a very high side.  My inquiries also revealed that the hotel is not having good reputation, and troubles the clients.

As I do not want to take any risks and to avoid misunderstanding, I have aasked you to treat the booking as cancelled and sought refund of cash of Rs.10,000/- and for return of the cheque.  You have not complied with my request and said that the matter has to be discussed with higher ups.  As a precaution, I have asked my Banker to stop payment of cheque No....issued for Rs.90,000/- issued in your favour, as I have already intimated you about cancellation.  I understand that my cheque was returned with same reason "payment stopped by drawer".

3.I have been seeking refund of my deposit Rs.10,000/- but you have been postponing the issue.  Please note that I have to proceed most relunctuntly and unwillingly to file a complaint before District Consumer forum, for deficiency of service and harassment, if you fail to refund my deposit of Rs.10,000/- within 15 days together with interest and other expenses of Rs.1,000/- within 15 days from receipt of my letter.

 

 

 
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Go exactly by mr prasad advise above.
 
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Advocate

The above Notice seems proper apart from mentioning that u will go in Consumer Court for refund of Rs. 10,000/- Ur advocate and other expenses will be more than Rs. 10,000/- apart from mental trauma of attending dates after every tow or three months. If the mentioning  is merely for ur defence then fine. 

Howevr, ur Notice is must to defend urself if the other side goes for recovery which is ulikely to file apart from threatening legal action. It is always better to save further expensesthan thinking of Rs. 10,000/- which u may earn in future. Concentrate today and forget it as bad dream of yesterday

Adv. Sandeep Naik...Mob : 9967056980(Bombay High Court) 

 
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Retired employee.

Please read first response.  Losing good money for bad money is not wise and no one suggests litigation.  Even it is extended  as CP Act,  is summary suit and as the issue involves no legal point, as member appears to be knowledgeble he can appear as party in person and normally, DF cases will be settled within maximum 8 adjournments, and when individual and large unit is concerned, the balance of decision mostly tilts in favour of individual applicant. Filing of such case has limitation period of 2 years, and unless the Hotel fixes that day for some other function, it can not resort to legal action, and even for defending the legal action, Hotel, the other party may have to spend same amount, and may think to settle the issue out of forum also.  October is too far.

 
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