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Client not paying after receiving services


19-Oct-2023 (In Startup Law)

Being an entrepreneur, I have come across customers who don't pay after receiving the services. One of them for who we designed and developer their corporate website, didn't respond to our emails and never picked the call. They restricted us the access to the site we developed for them. How to fix this?

Answers (3)

Answer #1
689 votes
The best way is to enter into an agreement with these companies, wherein stage wise development payment model is used along-with certain other terms & conditions. We could also help you in understanding that how to restrict the access and what to do. This problem is prevalent throughout the industry. If it is a substantial amount then you should file a case for recovery.
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Advocate Kanishk Agarwal

Adv. Kanishk Agarwal

LawRato Delhi | 5+ Answers
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Answer #2
558 votes
You can take following action against your client, if you have work order for the project that you have completed: 1. Send legal notice for payment of outstanding amount along with stop further development on the website till full and final payment as the part you have developed is copyright of the developer till receipt of final payment against execution of project. 2. if your client is company either pvt. ltd or limited, you also can send winding up notice under companies act. 3. file police complaint in this regard. 4. You also can file civil suit for Interim Injunction (For stay) to restrain your client to develop further the said website. For further information or clarification: please feel free to contact through LAWRATO.
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Advocate Haridutt Mishra

Adv. Haridutt Mishra

LawRatoDelhi | 25+ Answers
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Answer #3
585 votes
Hi, Going by what you have shared herein, it is advised that you may sue them in the court of law for recovery. Kindly also specify whether any agreement for services was entered between you and your client.
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Advocate Ankur Aggarwal

Adv. Ankur Aggarwal

LawRatoDelhi | 5+ Answers
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