• Settlement rejection

I have paid full and final settlement amount in the form of DD what she agreed for and both parties signed the MOU. On the court date she appeared and said to judge settlement not done. please advice how do i proceed further on this kind of case. Thanks
Asked 13 days ago in Family Law
Religion: Hindu

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10 Answers

Inform the court  that full payment has been made 

 

enclose copy of DD and acknowledgment of receipt signed by wife 

Ajay Sethi
Advocate, Mumbai
97233 Answers
7852 Consultations

You can show that to the court if she doesn’t agree for settlement then she has to return the money 

Prashant Nayak
Advocate, Mumbai
32660 Answers
207 Consultations

- If she has received the full and final amount as per the MOU signed by her , then she cannot backtrack from the same before the Court on mutual consent divorce.

- You can produce the copy of the DD with the MOU. 

- Further, if Court not allow , then file a recovery suit before the same Court for getting refund of the amount. 

Mohammed Shahzad
Advocate, Delhi
14641 Answers
224 Consultations

Thank you for reaching out and sharing your concerns. I understand the complexity of your situation and the importance of receiving accurate and actionable advice.

For detailed discussions and practical assistance tailored to your specific needs, I invite you to book an online consultation with me. During the consultation, I will address all your questions thoroughly and provide step-by-step guidance to help you navigate your case effectively. 

Once your booking is confirmed, I will prioritize your case and provide comprehensive support. Please feel free to contact me for any further clarifications regarding the consultation process.

Looking forward to assisting you. 

Your situation involves a breach of the agreed terms in a Mutual Consent Divorce (MCD) process. Here's how you can proceed legally and practically:

1. Analyze the MOU Terms and Payment Evidence

  • Ensure that the Memorandum of Understanding (MOU) explicitly states the settlement terms, including:

    • The agreed amount for full and final settlement.
    • The mode of payment (in your case, Demand Draft - DD).
    • Acknowledgment from both parties, signed and witnessed.
    • Clauses stating that the settlement resolves all disputes and that the other party will not raise further claims.

  • Verify if the DD payment details and acknowledgment of receipt are documented in the MOU or as a separate acknowledgment.

2. Evidence of Payment and Agreement

Gather all evidence related to the settlement, including:

  • Copy of the DD or bank statement showing the issuance of the DD.
  • The signed MOU as proof of mutual agreement.
  • Witnesses (if any) to the signing of the MOU or settlement discussions.
  • Court submissions, if the settlement was mentioned in earlier hearings or affidavits.

3. Steps to Proceed Further

A. File an Application in Court

  • File an application in the family court handling the divorce case, seeking enforcement of the MOU.
  • Include all evidence, including the MOU, proof of payment, and any related correspondence.
  • Argue that the other party is acting in bad faith by denying the settlement terms after having agreed and received payment.

B. Initiate Contempt of Court (if Applicable)

  • If the MOU was recorded in court or incorporated into prior orders, file a contempt petition for willful non-compliance of court-recorded terms.

C. Alternative Remedies

If the case was not strictly mutual consent and the MOU was outside the court process:

  1. File a specific performance suit to enforce the MOU under contract law.
  2. Request the court to penalize the other party for reneging on the agreement.

4. Prevent Further Misrepresentation

  • During the next hearing, present all documentary evidence to the judge, including the MOU and proof of payment, to ensure the court acknowledges the settlement.
  • Request the court to record the payment and finalize the case based on the agreement.

5. Legal Implications for the Other Party

  • If the other party is intentionally denying the settlement to delay proceedings or demand additional money, highlight this to the court as malafide intent.
  • Courts generally frown upon parties reneging on signed agreements, especially after accepting payments.

6. Additional Points


  • Reconcile Outside Court: If possible, try one last attempt at reconciling through your advocate or a mediator to avoid prolonged litigation.

  • File for Divorce on Other Grounds: If mutual consent falls through due to her non-cooperation, explore filing for divorce on grounds like cruelty or desertion, depending on the circumstances of your marriage.

Conclusion

Act quickly by filing an application to enforce the MOU or initiating legal proceedings to highlight the breach of agreement. Your evidence of payment and the signed MOU will strengthen your case, ensuring the court takes favorable action.

If you need assistance with drafting the application or filing a specific petition, feel free to ask!

Sharan Chopra
Advocate, Chandigarh
6 Answers

you had committed mistake in paying at the time of MOU. You should have to pay in stages like at the time of recoding of statement for divorce, withdrawal complaint etc. You seem not to have been properly advised. You can claim back your paid amount and can withdraw settlement. 

Siddharth Srivastava
Advocate, Delhi
1416 Answers

If the opposing party rejects a settlement after signing an MOU and receiving the agreed amount, here's how you can proceed:

Steps to Address Settlement Rejection:

  1. Verify the MOU Terms:

    • Ensure the MOU clearly states that the settlement is full and final.
    • Check if it includes terms binding both parties to honor the agreement in court.

  2. Present Evidence in Court:

    • Submit the MOU as evidence in court to demonstrate that both parties agreed to the settlement.
    • Provide proof of payment (e.g., DD receipt or bank acknowledgment) to show you fulfilled your obligations under the MOU.

  3. File an Application for Enforcement:

    • File an application in court seeking enforcement of the settlement terms as per the MOU.
    • Argue that the opposing party's refusal is in bad faith and violates the binding agreement.

  4. Initiate Contempt Proceedings (if applicable):

    • If the settlement agreement was recorded in court or approved by the judge, you can file a contempt application against the other party for reneging on the agreement.

  5. Engage in Mediation or Reconciliation:

    • If the court allows, seek mediation to remind the opposing party of their obligations under the MOU and resolve the matter amicably.

  6. Counter Any New Claims:

    • If the other party raises new claims, argue that they are barred by the settlement agreement, which serves as full and final closure.

  7. Legal Recourse:

    • Consult your lawyer to explore filing a separate suit for damages or specific performance of the settlement agreement if the opposing party continues to reject it.

Important Points:

  • The court usually upholds a signed MOU if the settlement terms are clear and both parties agreed voluntarily.
  • Bad faith refusal to honor a settlement can weaken the opposing party’s credibility in court.

For further assistance, consider a phone consultancy for personalized advice. Hope you find this helpful. If you could spare two minutes to write a review, it would be greatly appreciated. Thank you!

Shubham Goyal
Advocate, Delhi
335 Answers

Dear Client,

In your case, 
as you have paid the full and final settlement amount by DD and both parties have signed the MOU, the other party's claim of not having done the settlement is contradictory to the agreement. You should immediately present the MOU and proof of payment details, i.e., DD as evidence to the court. You must emphasize that the settlement terms were mutually agreed and were duly signed. If the other party argues this in bad faith, then you can appeal to the court to implement the conditions of the MOU as it is valid lawFurthermoreyou may seek legal advice with a lawyer on filing an application for contempt of court in case of statements by the other party that compromise the integrity of the agreement and proceedings.

Hope that this helps you to solve your problem.

Anik Miu
Advocate, Bangalore
10285 Answers
121 Consultations

MOU is only a prelude to contract, any party to MOU can turn back. Every matrimonial dispute is to be decided by family Court, any agreement between wife and husband without approval of Court is not valid. Your option is approach family Court at purani haveli, Hyderabad to seek relief you want.

Ravi Shinde
Advocate, Hyderabad
4267 Answers
42 Consultations

You can produce the photocopy of the DD handed over to her towards settlement as well as a copy of the MOU, if she is not willing to go for settlement disposal, then you can ask her to return the amount and continue the case as a contested one.

T Kalaiselvan
Advocate, Vellore
87436 Answers
2348 Consultations

It's nothing but playing fraud on the court also. Report that to the court and take appropriate legal action for breach of trust. If she hasn't claimed the DD amounts yet, instruct the banker to stop the payment and inform the court about your steps. Her conduct will be considered while proceeding with the case. 

 

You may contest the cases and demand the money back if she already withdrawn the amounts.

Srikanth Chintala
Advocate, Hyderabad
27 Answers

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