Joint Venture
Jaswant Singh
(Querist) 02 May 2009
This query is : Resolved
Four company formed a Joint Venture and executed a Contract for the purpose of execution of a project . The JV further executed a Sub Contract with third party. The dispute has arisen between the JV and third party and the project has also been completed. Dispute arisen between JV and third party
What is the legal status of Joint Venture, formed by the Four Companies and after completion of the project, for which the JV was formed?
What is the legal procedure for winding up of the JV once the project is completed?
What legal remedies are available to third party to restrain them for winding up?
A V Vishal
(Expert) 02 May 2009
Dear Singh
How was the JV entered, has any document been executed and what are its terms. What is the relation between the JV and the third party sub contractor. Does any agreement exists between the JV and the sub contractor. what are the terms. What is the dispute.
Kindly put your query in detail to advise properly.
ESTHERPRIYA
(Expert) 02 May 2009
The terms and conditions in the JV will be binding upon only the parties and it is enforceable between them alone not against the third party. IF the third party is involved in the said JV transaction, it is essential to make a third party contract between the JV and 3rd party with certain covenants. This is the procedure. But your query is confusing as there is no 3rd party contract.
Y V Vishweshwar Rao
(Expert) 03 May 2009
There is JV Agreemtn between 4 parties
There is Agreement between the JV and Third Party
The dispute between the JV and Third Party has to be decided by the Terms of the Agreemtn between the JV and Third Party
The completiton of project and proposed windign up of the JV is inbetweenthe JV partners and not binding on third party
All the 4 partners of JV are answerable to the Third Party claim (not withstandign the completition of the project and their proposoed windign up of the JV )
The Third Party claim is out of the JV transactions/affairs and to be complied as per the Agreemetn between JV & Thrid Party
Y V Vishweshwar Rao
(Expert) 03 May 2009
The Third Party claim is out of the JV transactions/affairs and to be complied as per the Agreemetn between JV & Thrid Party
K.C.Suresh
(Expert) 03 May 2009
Mr. Rao answered it completely. Nothing left to answer Thank you
