can a company sued
Sameer
(Querist) 11 May 2011
This query is : Resolved
dear friends
i am having a ginning factory and i have supplied a big company cotton bales, as per the company policy they use to pay 90% of the payments third day thereby deducting interest,and rest 10% payments in fifteen days early trade was smooth but in the last of this season they blocked my money,kindly guide me to recover from the company.
thanking you!
Sameer ahmed.
Guest
(Expert) 11 May 2011
issue a legal notice to the company calling for the dues in payment of money based on the vouchers/accounts. After that you can proceed to recovery of money in civil court. ask your lawyer to proceed further.
R.Ramachandran
(Expert) 11 May 2011
Dear Mr. Sameer,
It is not that you have supplied and they simply blocked the money and you simply kept quiet. Rather you might have contacted them, they might have informed you something.
What is it? Tell the latest information. Only on that basic anything can be told.
Advocate. Arunagiri
(Expert) 11 May 2011
If you have the proof of delivery of the goods to the company, you can file civil case for recovery of money.
Sunlawseeker
(Expert) 12 May 2011
Yes. According to Companies Act 1956 and Income Tax Act 1961 a Company is being considered as a person like a normal person. It can and can be sued. It is liable for its debts. Hence, You can sue on the company.
ANIL AGARWAL
(Expert) 12 May 2011
You can also initiate winding up petition against company after giving 21 days statutory notice.
vinay sonpal
(Expert) 12 May 2011
The company purchaser can be wound up by giving notice as suggested by Anil Agarwal. Send only a notice for winding up and on hearing of the winding up Petition a compromise ordinarily is struck. But if the correspondence by the buyer shows there is dispute in qunatitiy or quality you may not succeed. If you file summary suit it will give result very soon depending on pendency of cases in the concerned court. But again if quality or quantity disupte is there suit will not be summarry suit but it will be oridnary suit and takes time depending upon the Court. In any case pursuasive means are better than coercive. If you intend not to do business with the buyer , you may proceed legal remedy. I advise you to persuage till three years limitation is reaching and a last resort go to court.
Vikas Nagwan
(Expert) 12 May 2011
as you have already got very accurate and good advice... i would say just stick to it and sue that company...
Guest
(Expert) 13 May 2011
Unless you quote the reason for stoppage of payment, if you approached the company for payment as asked by Mr. Ramachandran, you are likely to get only wrong advice, which may not help you in any way.
Silabhadra Sastry Advocate
(Expert) 13 May 2011
Dear Samir jee,
If you have genuine dues / debt exciding minimum Rs.1 lakh on the company which you are talking off,then issue demand notice under section 434 of Companies Act through your lawyer to the said company,by giving them 21 days time to make payment.Failing which you can move company Court (which is operated by High Court in many states)u/s438 & 439 of Companies Act for winding up the said company.But you have to prove that they are insolvent and not able to pay your dues.Normaly after receiving notice from company courts the dues are being paid.
