you can file summary suits Or recovery suit against him in Court along with interest and court cost.
My client has not paid me since 2014
I own a manufacturing Unit, i had made projects worth 8 lakhs to my client between 2014 and 2016. The client hasn't paid me till now in spite of repeated requests ( he keeps giving vague reasons like got divorced, his client cheated him and other reasons). Of late, he has started to disconnect my calls and is not responding to my emails. Should I file a case or go through MSME Samadhan? The client company is an LLP and registered with the registrar of firms.
Asked 3 years ago in Business Law
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9 Answers
Dear Client,
The best would be to immediately issue a legal notice against your client, if it still does not work you can file a case in MSME council.
Thank You.
Your claim is barred by limitation
2) suit should have been filed within 3 years of non payment of dues
Dear Sir,
First get admission from him that you are dues are reviewed and he admits that he is liable to pay and then try to get postdated cheques atleast. You can recover easily if you start your process through MSME by filing an application before it.
The fault lies on your side for not initiating any action legally well within the time limit.
Since the outstanding amount is pending payment for more than three years and there is no renewal in writing or any commitment made by the other party in writing for payment, within the preceding three years, your claim is barred by limitation.
However this will not prevent you from sending legal notice demanding your dues from him.
Let him commit to make the payment, after which you will get fresh time limit by which you can file a suit for recovery.
Hey,
Initially I would suggest you issue a legal notice upon your client to make payments with interest and also damages for mental trauma caused within a period of 7 days from the receipt of the notice, failing which you will initiate legal proceedings against them.
If the client doesn't abide by it, then you can approach the local police station and make a complaint with regards to cheating under section 420 of IPC and criminal breach of trust under section 406 of IPC. You can also further file a civil suit for recovery of your payments.
Go through the MSME Samadhan portal.
If MSME Act is applicable you can invoke the same
- You an issue a legal demand notice to the said client for claiming the said amount .
- However , if you will claim that the said outstanding amount for the period of 2014 and 2016 ,then a suit cannot be filed against him as the limitation period of 3 years has already expired.
