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how to recover outstanding payment


04-Jul-2023 (In Recovery Law)
One of our clients has stopped paying us the dues, We have made several calls,visits but nothing is done about it. Now, i would like to know a couple of points. 1) Legally how can I sue them and Get the outstanding payments to Debited to my account? 2) On what grounds can i file a legal case against them? 2) How to deal with such clients? 3) What is the average time that such a case is resolved? 4) Will i be paid any compensation except the principal amount?
Answers (3)

Answer #1
587 votes
Dear Client,
1. you can file suit for recovery against your client, taking presumption, you don't have any cheque from client.
2. outstanding amount as per the boks is the ground for filling such suit.
2. you have to deal as it is your client, we are here to answer legal queries only.
3. depends on jurisdiction, in haryana/delhi within 2 years
4. you may be awarded principal+interest or any compensation, if you proved any loss/damage due to non payment.

for further clarification call/mail me

Answer #2
880 votes
you have to file revoery suit.. ground of suits must be the bills you would have issued to ur clients or any other mode to prove transections between you.. average time to dispose off suit depends on your activeness to appear in court and ofcourse you will get interest for payments..
Answer #3
950 votes
There are two ways you can pursue the matter. But before that I hope you have proof of payment made to the client. Accordingly you can send a legal notice first demanding the amount. If the client still doesnt pay then you can file a suit for recovery. It will take a maximum of 15 months. You can get an interest of 12% p.a on the principal amount alongwith litigation costs.

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Comments by Users

Asit Kumar Panda
We have raised the final bill in the year 2010 but till date no payment and no response has been received. In that case what type of case we can start for recover our payment

Reply by LawRato
To recover payment of an outstanding amount, you can file a civil suit for recovery of money under Order 37 of the Civil Procedure Code, 1908 (CPC). Order 37 of the CPC provides for a summary procedure for the recovery of money. This is a fast-track legal remedy for the recovery of debt in India. The limitation period for filing a suit for recovery of money is three years from the date on which the debt becomes due. If the suit is not filed within the prescribed period of limitation, which as per the facts supplied seems to be your case, it may be barred by the law of limitation, and the plaintiff may not be able to recover the money owed. However, there are certain circumstances under which the limitation period can be extended or suspended. For example, if the debtor acknowledges the debt, the limitation period may start afresh from the date of such acknowledgement. Similarly, if the creditor is prevented by some legal disability from filing the suit within the prescribed period, the limitation period may be extended.
You can consult a lawyer who will guide you after understanding the facts of your case better. You can hire a lawyer by clicking on the link below - 
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