A Legal notice is a formal communication to a person or an entity, informing the other party of your intention to undertake legal proceedings against them.This notice, when sent, conveys your intention prior to the legal proceedings and thus, makes the party aware of your grievance. And, if the other party is still not heeding to the grievance, one can always start the court proceedings after a particular interval, as stated by the law. Although a legal notice can service as a purpose of negotiations between the parties and save time, effort and money that are usually spent in court cases. There are several situations when It’s become necessary to opt for legal solutions, among the most common are as follows:
Tenant: Sometimes tenants don’t pay the rent to the landowner and as a result, a huge amount accrued which the landowner is entitled to receive.If the tenancy has been started by signing an agreement of leave and licence or lease and licence in that case the landowner is entitled to send legal notice for recovery of outstanding dues or can recover the rent by filing a suit for specific performance of contact which is governed by the Specific Relief Act 1963 and The Indian Contract Act, 1872.
Employee and Employer/Company: If any employer deprives his employees of their legitimate salary then several procedures are available for recovery of salary. If that employee is governed by the Labour laws then he can approach labour Commissioner or can sue the employer under the Payment of Wages Act, 1936 and Industrial Dispute Act, 1947.If the employee is of the rank of executives, managers and doesn’t come under the Labour laws then can seek remedy for recovery of money under order 37 of The Code of Civil Procedure, 1908 which is commonly known as a summary suit.In case the employer had taken any fraudulent means to deprive the employees of their salary they can get remedy under different sections of Indian Penal Code 1860 and section 447 of the Companies Act, 2013. Any person who is seeking recovery of money should send a legal notice to the employer for recovery of money drafted by a prudent and tacit lawyer before taking any of the above mentioned legal steps. Sometimes a strong and effective Legal Notice can become fruitful in recovery the money and saves a lot of hassle and expenditure.
Loan: in India defaulters of a loan are creating a huge mess in the economy and as such in recent years the government had taken strong measures to recover the money circulated through debt.The Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act, 2002 (also known as the SARFAESI Act) was introduced with the sole intentions to recover the debt amount and a separate judicial body i.e. the Debt Recovery Tribunal is formed in every State to resolve the debt related issues only where the first step begins by sending legal notice for debt recovery from the bank or Financial Institution.
Dealer: In business, most of the times producers sell their product through the distributors and keeps security deposit from the Dealers and Distributors in the form of Post dated cheques.If those cheques get bounced due to non-availability of fund then the drawee can straight away send legal notice to the drawer for recovery of the due amount within 30 days from the date of receipt of return memo from bank and if sending legal notice for recovery of Payment becomes futile then the drawee can file a case against the drawer within 15 days under section 138 of The Negotiable Instruments Act.
Recovery of Money from a Friend: To avoid any unpleasant issue in future one should give a loan to friends or family members through either of these two instruments i.e. Promissory Notes and Loan Agreement.If you have put that loan under written contract through either of these two instruments you are entitled to get legal relief. You can send a legal notice for recovery of money to your friend if even that doesn’t work you can file summary suit under The Code of Civil Procedure, 1908.Henceforth in order to summarize all the above mentioned legal remedies for recovery of money it can be said that for recovery of money civil remedies are available under Order 37 of The Code of Civil Procedure, 1908 i.e. Summary suit And Criminal remedies are available under Section 406 (criminal breach of trust), Section 420(cheating), Section 426 (mischief ) of the Indian Penal Code 1860 . Above all the most effective and primary step which can be taken is sending a legal notice for recovery of money.
If any of these situations apply to your situation then get in touch with us.