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P.C. Joshi (service)     06 August 2009

recovery from debtors

I seek the advice of learned members of this forum on the following issue;

A ltd has been selling goods to X on regular basis on 60 days  terms. Since there has been delay is payment, A ltd stopped supplies to X.

X has not been clearing the payment against past supplies despite repeated reminders and promises made are not being honoured. Pls advise the most effective legal remedy available to A ltd to recover the o/s both in criminal and civil laws. Best Regards, P.C. Joshi

Best

 

 

 

 

 

 

 

 

 

 

 

 



 5 Replies

R.R. KRISHNAA (Legal Manager)     06 August 2009

This is purely a civil natured dispute hence there is no question of taking recourse to criminal law.

You can recover the outstanding amount only by way of civil suit for recovery of money provided your claim is within the limitation period.

 

 

 

Y V Vishweshwar Rao (Advocate )     06 August 2009

I Agree with Mr Krishna ,

it is Civil Nature - you  are dealing  with X since long time as Running  Account /Khata /    supply and payments and Credits & Debts !  A  Running Account  - You have to file the Suit for recovery of due amoun on Running account -for final Out standing  Due amoutn from X

 

Adinath@Avinash Patil (advocate)     06 August 2009

If A  have any agreement with X for supplying/selling goods. Then  A surely succeed in civi suit hence I think  A  have to file civil suit against X for recovry of amount and compensation.

A.K.D Sayare (Advocate)     08 August 2009

A ltd. has enter into any agreement with X for sale of goods on credit ??? if yes, is their clause for arbitration. ?? for you only remedy is civil action.

abhijit (legal )     17 August 2009

i agree with Krishna that a civil suit can solve this problem, but before that, a legal notice must be served giving exact details of the outstanding ammount and giving notice of a month ot two asking to clear the said outstanding amount. In the abovementioned legal notice an intimidation should also be given to the effect that if the said outstanding is not paid in the notice period, a legal action shall be taken in court of law for its recovery with interest (You should also mention interest rate here) and costs.

Only on not taking any action or objecting in writing to the above notice , you should move the civil court.


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