company had transferred the debit balance of the receivables to bad debt account, but the same is not written off. Can the company file a suit for the recovery of the amount from the debtor.Any authority on this point please
SRIKANTH MYLAVARAPU (SENIOR OFFICER (LEGAL)) 16 June 2010
COMAPANY HAS SHOWN THE DEBT AS AN BAD DEBT AND DIDNT WITTE OFF MEANSTHE COMPANY DIDNT CLOSED YOUR ACOUNT OF THE DEBTOR.
IF THERE IS AN LIMITAION PERIOD COMPANY HAS RIGHT TO FILE A SUIT AGANIST THE DEBTOR
STILL THE DEBT AGREEMENT IS IN FORCE
YOGESHWAR. (ADVOCATE HIGH COURT-criminal /civil -firstname.lastname@example.org) 24 June 2010
Debtor is liable to pay with only exception of three years if he has not conformed the outstandings in meanwhile otherwise it gives fresh lease of limitation.