Lawsuit against director of a opc pvt. ltd.
Querist :
Anonymous
(Querist) 26 August 2020
This query is : Resolved
Can a client file a lawsuit against director of a One Person Company (OPC) if they are not satisfied with the quality of services provided?
My understanding is that since the OPC is a separate legal entity, if the lawsuit is filed against the company the liability of the director is limited by his/ her shareholding in the OPC, and does not include any personal assets of the director.
SHIRISH PAWAR, 7738990900
(Expert) 26 August 2020
Hello,
As per me you cannot directly file suit against director of the company instead of company.
Shilesh Patel
(Expert) 26 August 2020
you can file a suit against a company and the company will compensate for your damages.
Advocate Bhartesh goyal
(Expert) 26 August 2020
Without arraying company in as opposite party suit against its director is not maintainable.
Rajendra K Goyal
(Expert) 26 August 2020
What type of company is it, whether Pvt. Ltd or limited?
What type of debt / case is?
Please mention clear material facts.
Not able to form opinion in absence of material facts.
Querist :
Anonymous
(Querist) 26 August 2020
Company is "One Person Company Private Limited" (OPC Pvt. Ltd.), its a form of Pvt. Ltd. company.
Its a consulting based business, and client is unhappy with the deliverable quality.
Dr J C Vashista
(Expert) 27 August 2020
If so called "one person company" is registered it can be sued. \
However, can you please provide / intimate the provision of law for forming / registration of OPC ?
What is your concern / locus standi to the facts / dispute ?
Rajendra K Goyal
(Expert) 27 August 2020
Author need to reply the basic information asked by the expert Dr. J.C. Vashishta.
Querist :
Anonymous
(Querist) 27 August 2020
Thank you everyone for their inputs. As of the last input from Dr. Vashista, the company is formed as per the regulation of Section 2(62) of Companies Act, 2013. These are different from sole proprietorships as they are meant to follow the limited liability provisions applicable to private limited companies.
Rajendra K Goyal
(Expert) 28 August 2020
Suit against the director is maintainable in certain conditions i.e. tax arrears etc.
Suit should be against the company in general.
P. Venu
(Expert) 28 August 2020
There are many circumstances in which it becomes necessary to lift the corporate veil. If so, the director could be sued in his personal capacity.
The liability of the director of the OPC is limited to paid-up capital.