I bought a wine shop license with running shop, paid already the heavy fees required by government, license has already been transformed and signed by collector in my name from all government authorities (excise department officers , lawyers etc). After 3 months I received letter from excise department stating the license cannot be in my name as the license of first party (from whom i bought license) was joined with his mother name in the license,the mother is already dead 10 years ago, and left the WILL clearly stating whatever property she had, should be transferred to his only first party son.All the agreements has been proved to the department, even though it can not satisfy the officers.
What legal action should I take? to whom? As already I paid heavy property fees, taxes, extra value of license and shop goodwill.
Asked in Business Law from Nasirabad, Rajasthan
At the time of purchasing wine shop you should have done due diligence. You should have cross checked whether license was in single name or joint names. If mother had died and left a will whether any probate was obtained. Whether in pursuance to will the mother name was deleted from license. You have mentioned that all agreements were provided to department. Without going through the agreements we cannot advise.
It appears that 3 months after transfer of license you have received letter from department that license cannot be in your name. It is your case that license has been transferred in your name by collector and all the fees have been paid by you. If license has been wrongly transferred in your name Govt can revoke the transfer after considering your reply and after granting you a personal hearing. If you are aggrieved you can challenge the decision of Govt in court.