How to recover money from friend legally ?

14-Jun-2024 (In Recovery Law)
I lent 2 lakh Rs. to a friend in various instalments for his business in which he promised me a position and share in profit. When inquiring more about his business it turned out he was just wasting my money on wishful endeavours and he had borrowed money from many more. He started making false promises about returning the money. ultimately his family has asked to take whatever legal action we want as they don't care. He says he'll return the money by paying 2000 each month. Basically, He is not going to return the money and is just befooling us. What can i do now? what legal steps can help me recover my money, how to get money back from friend legally ?
Answers (5)

Answer #1
97 votes

If you have lent money to a friend and they have not repaid the amount as agreed, you may be able to recover the money through legal means in India. Here are the general steps you can follow:

  1. Send a demand letter: You can start by sending a demand letter to your friend asking them to repay the money they owe you. The letter should clearly state the amount owed, the terms of repayment, and a deadline for repayment.

  2. File a civil suit: If your friend does not respond to the demand letter or refuses to repay the money owed, you can file a civil suit against them in a court of law under the provisions of the Indian Contract Act. You will need to provide evidence of the loan, such as bank statements, receipts, or written agreements, to support your claim. The Act provides for the following remedies in case of a breach of contract:
    - Specific performance: This remedy requires the party in breach to perform their obligations as per the terms of the agreement.
    - Damages: This remedy allows the aggrieved party to claim monetary compensation for the losses suffered as a result of the breach of contract.?

  3. Attend court hearings: Once you have filed the civil suit, you will need to attend court hearings as scheduled and present your case to the court. Your friend will also have an opportunity to present their case and respond to your allegations.

  4. Obtain a judgment: If the court rules in your favour, you will be issued a judgment against your friend, which will require them to repay the money owed to you. If your friend fails to comply with the court order, you may be able to take further legal action to enforce the judgment, such as seizing their assets or garnishing their wages.

It is important to note that legal proceedings can be time-consuming and expensive, and it may be worth exploring other options for resolving the issue, such as mediation or negotiation, before pursuing legal action.

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Answer #2
984 votes
It is very simple sir. Send a legal notice to him for recovery of money. And after that file a suit for recovery against him in the court. But the basic things how did you make payment and what documents do you have with you. Or any other help contact me.
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Answer #3
750 votes
There are various ways in which you can recover your money with interest. You can even recover your money if there is nothing in writing between both the parties regarding the lending of money. You can either get your money through legal way or through the other ways available.
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Answer #4
977 votes
You can file a case under section 138 of negotiable instruments Act ,if the payment which is given by you is not in cash. You should file it within the limitation period. After the limitation period is expired it becomes difficult to file a case.
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Answer #5
898 votes
Firstly we will send the notice to return the money in specific time period of 30 days . If he will not pay we can fill the civil suit against him for recovery of money under order 37 crpc it is faster process
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