I have ordered for a Engineering Machine for my factory. Paid an advance of 20% @ 3 Lac rupees by cheque. Later on i cancelled the order in writing due to scarcity of funds. Supplier is from Delhi. I have not place a PO but send acceptance on email for the order. They have spend some money for the foundation of the machine @ Rs. 70,000/- . I have requested them to deduct their expenses and refund the amount, which they have refused stating they have spend more than 3 Lacs. Can I get back any money ? If yes how much i can claim.
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it is necessary to go through the terms of contract to advice.
2) acceptance by email is sufficient to prove that order has been placed .
3) if seller has refused to refund advance amount on cancellation of contract file suit for recovery .
4) the supplier will have to prove that he has spent more than Rs 3 lakhs on expenses .
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There is no clause for cancellation in offer. They have sent a bill for civil foundation & associated jobs 3.03 Lacs. Civil foundation has been made by their petty contractor to whom they have made a payment of 1.5 lacs. Can they send us a recovery notice and file civil suit at delhi.
if you have once confirmed the order,to which we really do not have any about how much they have spend on further arrangement,they may send you notice and file civilsuit
they can file suit in delhi as part of cause of action has arisen in delhi . if supplier has incurred expenditure as alleged by them chances of recovery of any amount by you are bleak . suit will be contested by supplier and it will take years to be disposed of
Thanks for your helping advice. My lawyer was not keen on proceeding. Thats why i cross checked.
my pleasure
thanks for your appreciation