Breach of fiduciary duty
Rameankar2000
(Querist) 03 December 2013
This query is : Resolved
Respected Sirs,
I run export import agency, based in India.
I seek your guidance on my below issue:
I act as a international trading broker and agent, introduce buyers to my Principals who are sellers of agrocommoities, negotiate prices, conclude contracts, and get commission from Sellers after Sellers ship goods and receive their payment.
My Principals are based in Canada.
Recently my Principals have been contacting my Indian buyers without my knowledge and concluding business with them whom I had introduced earlier.
I introduced buyers to them on their assurance that they will pay me commisson for business they conclude with my buyers.
There is no written agency agreement with them.
I have received commissions in the past from them for some deals.
These introductions with buyers paves the way for millions of dollars worth of business to them.
I would like to know if by overlooking me and without my knowledge and going direct to my buyers, they commit breach of fiduciary duty and other legal provisions,
Kindly let me know if I can explore legal remedies.
And,
If I can build a case, where should I proceed against them - in Canada or India?
I will be grateful for your opinions.
SHIRISH PAWAR, 7738990900
(Expert) 03 December 2013
You can initiate legal action in India and claim the damages and compensation.
Rajendra K Goyal
(Expert) 03 December 2013
The terms of your agreement need to be seen, Contact a local lawyer.
Raj Kumar Makkad
(Expert) 03 December 2013
No definite opinion can be given without going through your terms of contract.
Rameankar2000
(Querist) 04 December 2013
Dear Sirs,
My buyers can certify that they know this Seller only through my introduction, and that they placed initial business with my Principal based upon my honesty and sincerity in all business dealings. My Buyers know that my introduction of a certain Company can never go wrong.
In short, my Principals rode piggyback on my good name, goodwill with Buyers, and then after sometime, are throwing me away.
I have introduced atleast 10 Buyers. I have communications to show these introductions.
SHIRISH PAWAR, 7738990900
(Expert) 04 December 2013
You have very good case so you can approach court here in India dont worry what was written in the agreement before taking legal action.
Rameankar2000
(Querist) 07 December 2013
Dear Sir,
I have doubts on the jurisdiction - Can we sue against this Canada based Company here in India?
Rajendra K Goyal
(Expert) 07 December 2013
For jurisdiction the terms of contract need to be referred.
Rameankar2000
(Querist) 27 April 2014
Canada Company has given undertaking that they will deal with my buyers only through me. They have breached their undertaking.
Kindly let me know if this breach can attract section 88 of Indian Trusts act - breach of fiduciary obligations and profit disgorgement
