LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Save Energy   05 February 2024

Refundable deposit paid to a factory owner under job work agreement not being paid back

Hello Learned Community, 

We three friends started a LLP last year to manufacture packaged drinking water. We collected our hard earned saving and entered into a Job work contract with a manufacturer. On entering into the contract we signed a notarized agreement that mandated return of INR 2 Lacs that we had paid to the manufacturer as 'Deposit' in an event of termination of contract. Due to very poor service given by the manufacturer we terminated the contract and duly notified the party via a personal meeting, email and WhatsApp. The manufacturer has refused to pay the deposit back and constantly providing vague responses and avoiding our calls. We contacted a lawyer and have even sent a legal notice to the manufacturer however this is no response from their side. 

We have been told by the lawyer that only a civil matter can be registered in the court post sending the legal notice, and such cases take years to come to verdict. Can someone please assist us by helping us understand if there a way we can proceed legally to get the deposit back? can an FIR be filed which might probably pressurize the manufacturer and make them understand their lawful obligation to us? 

Please help us, that's the only capital we have to run our business. 


Akash, Director - SAVE BEWERAGES


 1 Replies

Jyothi Reddy   16 March 2024

While teriminating the agreement with manfucaturer have you sent the notice to return back Refundable Secuirty Deposit?

Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register