• Violence to Franchisee Agreement

I have a franchisee agreement with one of the company and i got associated with this company through Franchisee India. As per the understanding between me, Franchisee India and the company, i have paid all the dues during October/November 2018 and with some delays from company part we signed the agreement effective 5th of December'18. As per the agreement clause, by 5th of January'19, i was due to receive my return on investment as per the schedule However its more than two months due now and the company has not paid me as agreed. The company is not responding to my telephone calls and delay dallying with me. Please advise me the legal option.
Asked 7 years ago in Business Law

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13 Answers

Serve a legal notice to the franchisee india and the company if on legal notice they fail to respond then file a suit claim as per agreement . If there is clause of arbitration then arbitration other wise according to jurisdiction civil / commercial court need to be approached by way of suit.

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

You should send a legal notice to that company asking them to repay the entire amount along with interest and compensation or to perform their part of the contract, failing which approach civil Court and use any one of the following remedies available to you as per law.

The remedies for breach of contract are:

1. Suit for damages or compensation

2. Suit for specific performance

3. Suit for injunction

4. Suit for rescission

5. Punitive damages

 

Section 73 of Indian contract Act clearly states that the party who has suffered, since the other party has broken promises, can claim compensation for loss or damages caused to them in the normal course of business.

Siddharth Jain
Advocate, New Delhi
6617 Answers
102 Consultations

Issue legal notice to company to furnish return on your investment as per schedule 

 

2) if company fails to do so terminate the contract on account of breach of contractual obligations and sue company for damages to recoverloss suffered by you 

Ajay Sethi
Advocate, Mumbai
99793 Answers
8147 Consultations

where is the registered office of this company and the intermediary Franchisee India?

 

generally in a franchise agreement, its the franchisee who has to pay the royalty or premium to the franchisor company

since in your case you would be receiving a return on your investment, i dont think its a franchise agreement, but some other investment agreement which is styled as a franchisee agreement 

Yusuf Rampurawala
Advocate, Mumbai
7900 Answers
79 Consultations

Issue a legal notice through an advocate and file a complaint before District  Consumer Forum under Defeincy of service and claim refund along with interest and compensation. 

Mohammed Mujeeb
Advocate, Hyderabad
19325 Answers
32 Consultations

1. Apprehensively, the company is a fake & or on a cheating spree.
2. IF the Co. is an Indian co., THEN serve a legal notice & demand back the money alongwith interest thereon. IF the Co. is a foreign Co., THEN write a complaint to that Foreign Consulate, alongwith documentary evidence & request for necessary legal action.
3. IF the Co. fails, THEN You can file a Police FIR, requesting investigation and charge-sheet, for offences like cheating, intimidation, fraud against the person, supported with all relevant supporting documents.
4. IF the Police does not take action, THEN you can file private criminal case u/s 156(3) Cr.P.C., in the local Magistrates court, seeking directions to the Police to investigate and file charge sheet. The said Person may come down for settlement.

Keep Smiling .... Hemant Agarwal

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

Dear Sir,

Get issue a legal notice and then file suit for recovery of the amount as it is clear violation of terms of agreement.

Netravathi Kalaskar
Advocate, Bengaluru
4951 Answers
27 Consultations

You have to file a civil suit for the specific performance of agreement and claim the amount due from the company with the interest and you may also claim for the legal charges and the compensation for delay in payment you can file your writ petition in the high court as well

Vimlesh Prasad Mishra
Advocate, Lucknow
6851 Answers
23 Consultations

1. Did Franchise India stand as a guarantor for compliance of the franchise agreement you have enterede in to with the said company?

 

2. If yes, then you can file a Money Suit claiming payment of the said amount due to you by the said company or the guarantor.

 

3.Is there qany arbitration clause features in the said agreement/

 

4. if yes then you shall have to act as per the said agreement.

 

5. You cana lso file a petition before the local Court praying for specific performance of the said Company. 

Krishna Kishore Ganguly
Advocate, Kolkata
27703 Answers
726 Consultations

If the said agreement has a arbitration clause you can proceed with the same or you can also file a suit against them. You can approach NCLT against the said franchise company being operational creditor

Prashant Nayak
Advocate, Mumbai
34527 Answers
249 Consultations

Hello, 

You must send a legal notice to the company at the earliest and ask them for releasing the fund at the earliest as per the terms of the franchise agreement. 

 

Regards 

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

1) You can send normal letter from your side mentioning all facts and figures on the issue.

 

2) If they don't reply to your letter than send legal notice along with all facts and figures etc.

 

3) Meanwhile you can make complaint in the Consumer Forum.

 

4) And than can file case against company.

Ganesh Kadam
Advocate, Pune
13008 Answers
267 Consultations

You can issue a legal demand notice on the basis of agreement entered between both.

If there's no response then you may resort to file a summary proceedings case for recovery.

T Kalaiselvan
Advocate, Vellore
89995 Answers
2496 Consultations

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