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Pramod Uchitkar (TC)     08 November 2013

Payment defaulter

Dear Sir,

         I am in problem for getting balance payment from a buyer of old commercial vehicle.

Actually I sold my commercial vehicle to a person against the deal amount of Rs. 85000/- I hand over the vehicle against only Rs. 10000/- cash payment,  as he spoke for balance payment within 2-3 days, but he made delay for balance payment, and after 15 days he is giving many reasons for negociation to reduce to deal amount. Finally I agreed on 83500/- and I told him that if this amount is not affordable, he can return my vehicle after using 15 days And I will return his Rs.10000/- at same time. But he deny to cancel the deal and agree for Rs. 83500/-

     There is ongoing vehicle loan from a sahakari bank for same vehicle. I ask him for payment of complete amount and I will provide him no due certificate from bank. But he ask for flexibility for payment, He gives me three PDC cheques of part payment and balance bank insatallment he will pay on regularly at given date to bank. Two cheques are berar and one is on a/c payee. All three chques are cash.

     But for the bank installment he doing delay, 1st month he did not paid, 2nd month also he did not paid, bank asking me for payment. when I pressurise that buyer for payement he issue only one installment by cheque. that cheque was clear.

    Now after two months vehicle has got some mechanical problem and it required 10K to 12K expenses. that's why the buyer refusing to pay balance amount, He saying I cheat him by selling faulty vehicle to him. After many request he is not agree to pay balance installment to the bank or me. He says clearly to do what I can.

     Now the condition is original papers having with me. I did not sign on any paper for selling this vehicle. He made one agreement after one month of deal. And it is noterised. But I did not sign on it anywhere.  He just gives me only xerox copy of this agreement.

     So, Please suggest what can I do, or where I will get help. Please suggest.




 13 Replies

BAALASUBRAMANNYAMM (Advocate)     08 November 2013

(1) As on today, you are still owner of the vehicle. The burden of paying monthly instalments to the bank, is laid on you. So in all ways  you are the sole responsible. person for loan repayments. If you have man power (strength), take the vehicle under your custody, till he return back and pays amounts.

(2) With regard to cheque payments, if any body comes and  mediates through his favour, you should say " that you have given hand loan and thereby  he repaid the same by way of cheques" so that you can escape from the receipts. 

Pramod Uchitkar (TC)     08 November 2013

Thank you sir,

     I just want to know, should I file FIR of theft of vehicle. Because I am not that much powerful to take my vehicle in my custody forcefully.

 Please suggest.



BAALASUBRAMANNYAMM (Advocate)     08 November 2013

The plea of "theft" is not at all suggestable, because everybody knows that the other person has taken your vehicle, since so many months. 

sanjay kumar (BE/ LLM in Corporate Laws)     11 November 2013

Legally speaking, if he is not honoring the deal, he has to return back the vehicle to you in the original condition and you can claim further damages. So the law is on your side. Filing of FIR will aggravate the situation and your legal options will then close because it will be a false FIR as your have "sold" the vehicle to him and not "stolen" by him.

Pramod Uchitkar (TC)     19 November 2013

Dear Sir/s,

        Buyer is not agree to complete the deal, and I given info about this vehicle to traffic police in the area where that man using my vehicle, I assume that whenever the traffic police check this vehicle and ask for original documents, that time that man will come to me for original paper's which is still with me.

       But, Yesterday I saw my vehicle on same route, but he is change Vehicle no., I recognized my vehicle but when I am looking at Vehicle no., Number is different and he is using this vehicle for same business.

       So, please suggest, What step I would be taken.



Pramod Uchitkar (TC)     19 November 2013

Vehicle is still on HPA with bank. and it is insured

sanjay kumar (BE/ LLM in Corporate Laws)     20 November 2013

Note down the registration number on the vehicle and inform the police that the vehicle is plying with a fake number plate. The police can stop the vehicle and check for the documents.

Adv. Rajiv (Advocate)     25 November 2013

Dear Pramod,

As per the Indian Contract Act, The buyer is bound to “pay or tender, at the time and place of completing the sale, the purchase-money to the seller or such person as he directs”. But, this is subject to the fact that where the ownership of the property has passed to the buyer, to bear any loss arising from the destruction, injury or decrease in value of the property not caused by the seller.

Now, you are apprehensive as to the conclusion of the contract for sale. As you have mentioned that there is only one written agreement which has also been notarized but you haven’t signed. Now, this is not the only evidence of the contract that has been concluded in this case. Firstly there is an oral agreement that has been accepted by both parties, which is with respect to the amount of Rs. 83500 for the sale of your automobile. Also, partial amount of the deal i.e. Rs. 10,000 has been paid by the buyer to you at the time of sale. In addition to that the buyer has also paid an installment to the sahakari bank in furtherance of the payment of finances for the automobile.

But, at the same time he has been guilty of neglecting payments and constantly delaying the same, as has been the case with the payment of installments. Now, the mechanical problem or breakdown in the automobile has taken place after two months from the conclusion of the contract and notably after the property in the automobile had passed into the hands of the buyer and he is bound to pay for any losses arising from that. So, you may go ahead with filing a suit for recovery of money/payment for the sale of the automobile.

Adv. Rajiv Malhotra

Pramod Uchitkar (TC)     25 November 2013

Rajivji Thank you for suggestion, please suggest to file recovery suit from Police station or through a court or a Lawyer.




Pramod Uchitkar (TC)     12 December 2013

Dear Sir,

      I submit the letter to Police station with all details and transaction and copy of Vehicle paper's before two weeks., But they did not do anything. and I have to pay bank installment.

Balance Loan amount is near about 12000/- only. and banker is Nagpur Nagrik Sahakari Bank Ltd.

I think I should to be defaulter for payment in bank. and surrender the original paper of vehicle to bank by getting acknowledgement that they recd. original papers.

Question is_

Is Bank will try to get siezed the vehicle from market wherever it is on the road through Police or RTO for sale and recover the outstanding money. Vehicle Market value near about Rs. 50000/-

Or they will send the notice to me and my Gauranter

What should I do. I don't care about my cibil score.





deb (Advocate)     01 January 2014

Dear Sir, Is it allright if a Judge has passed an ex parte ad interim injunction against the defendant without the presence of either plaintiffs and defendants basically no body appeared and judge has given exparte adinterim exparte order Does the Judge have such discretionary power to pass an order without hearing any advocate Regards

deb (Advocate)     01 January 2014

Dear Sir,

Is it allright if a Judge has passed an ex parte ad interim injunction against the defendant without the presence of either plaintiffs and defendants

basically no body appeared and judge has given exparte adinterim exparte order 

Does the Judge have such discretionary power to pass an order without hearing any advocate




Sunil S Nair (lawyer)     26 May 2014

This is other than what you have asked for if any accident is caused by the purchaser you sole shall be responsible for the same because vehicle til date still is recognised you as a legal owner

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