Sole-propreitorship under military engineering services
MANOJ
(Querist) 28 March 2013
This query is : Resolved
My father was a contractor for the MES, under the name of Insulation Engineers as a Sole-Propreitor. When my father died unexpectedly, I was told that I, or any of the legal heirs, will not be able bid/quote for new works under the name of Insulation Engineers.
I'm told that unless the sole-proprietor had issued a power-of-attorney to one of the heirs and had made that particular heir to undertake any of the works that he had won by bidding. My father was in the process of taking that step, and had given the power-of-attorney to my sister, since I was away.
My father was doing work under that name for 30 years, I do not want to lose the one thing that he worked so hard for.
H.M.Patnaik
(Expert) 29 March 2013
From the limited info given above, it is understood that your father had given the Power of attorney for continuing the business in favour of your sister. In such a case she is only entitled to run the ongoing business .
However, you have to check up the contents of such Power for examining the extent and type of rights vested therein .
Once a Sole proprietor has expired, you have to obtain a Legal Heir certificate from the jurisdictional Tehsil for for being entitled to to handle his accounts etc..
In case of immovable property left by the deceased you have approach the local court for grant of Succession Certificate in favour of Legal heirs.
Sudhir Kumar, Advocate
(Expert) 29 March 2013
Your father worked hard but as the record says he did not like you to get inheritance of his hard work. action of MES is correct. The company stands dissolved after death of sole proprietor.
Pradeep MK
(Expert) 29 March 2013
Dear Manoj,
Upon death of your father the contract between MES and your father comes to an end.
For pending bill amount you have to produce affidavit of all the legal heirs and No Objection Certificate (NOC) from all the legal heirs to release the payment in favour of one of the legal heirs. In the event of rival claims MES may ask you to produce Succession Certificate.
With regard to transfer of the contract in your favour and recognising you as the supplier you have to qualify the tender conditions of the MES which your late father qualified. Then you have to produce the NOC of all other Legal heirs to recognise you as the contractor in place of your father. As per the terms and conditions of the contract is always the discretion of the MES to accept or not to accept.
You can get the norms or guidlens framed by the MES to recognise the legal heirs of the contractor in the event of the death of contractor who happens to be sole proprietor under RTI Act 2005.
prabhakar singh
(Expert) 29 March 2013
YOU HAVE BEEN RIGHTLY AND APTLY GUIDED.
Raj Kumar Makkad
(Expert) 30 March 2013
You have rightly been advised by experts.
