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in Commercial Law Contracts Law
Asked June 25, 2017

Suit for recovery of money

  • 5 Answers

I had given loan to an individual in 1-10-2006 and he is not repaying me my loan. Can i file suit against the individual to recover the amount?

Answers 5

Yes you can file a case for recover of money and if you have any document for the same then it will be good for you.

Agree Comment 0 Agrees over 3 years ago

Yes you can file a case for recover of money and if you have any document for the same then it will be good for you.

Agree Comment 0 Agrees over 3 years ago

Yes, a suit can be filed against the borrower for default in payment of the loan amount. However, it is advisable that before filing a suit all the efforts should be made to contact the borrower to repay the loan amount (via phone call, email, letter or personal meetings). Records of such attempts made should also be kept.

If after these efforts no positive response has been availed it is further prudent to send a ‘legal notice’ to the borrower via registered AD post before filing a suit. A ‘legal notice’ is simply informing the borrower about your intentions to file a suit in the court if the loan is not repaid within a reasonable period of time (which can range from 15 days to 60 days or more as per your will).

Depending upon the reply to your ‘legal notice’ you can choose to file a suit or not. In cases of recovery of debt with or without interest due to a contract there are special category suits called the ‘summary suits’ which can be filed in the court. Once the suit is instituted the proceedings will begin in the court.

Also, keep note of the limitation period before filing the suit which is of three years i.e. more than three years should not have passed from the breach of contract otherwise an application need to be made for condonation of delay with sufficient cause.

Agree Comment 0 Agrees over 3 years ago

Before legal action is taken against a debtor, the claim should be brought to his or her notice to make sure that the debtor is aware of the fact that the debt has not been paid back. This letter should include information concerning the debt, for instance, how the debt was incurred, the original amount of the debt, when the last payment was made, and the current amount that is due to be paid back. The letter should also mention information regarding the payment arrangement, providing the debtor with a phone number or an address in order to get back to the creditor. Most importantly, a due date should be provided to the debtor mentioning by which date he or she must make payment arrangements in totality. Save a copy of this correspondence. If this due date passes one could send a legal notice from a lawyer’s office, before commencing any legal action.

Only if this too fails does it become necessary to institute legal proceedings against the debtor. Save any relevant papers in one’s possession that are related to the debt.

The limitation period for filing a civil recovery suit in India is 3 years. After that the claim is barred by time. It is imperative to decide which Court of law one should file their suit for recovery. For example, the pecuniary jurisdiction of the Courts in Delhi areas follows:

Suits amounting to Rs.1 - Rs.20, 00,000/- lie before District Courts.

Suits over and above Rs. 20,00,000/- lie before the High Court.

All civil suits go before the District Courts, and only appeals lie before the High Court.  If one is dissatisfied with the judgment, one can always appeal to the High Court.

Agree Comment 0 Agrees over 3 years ago



If the person is not refunding the amount then you can file the Recovery Suit you can file under Order XXXVII of Civil Procedure Code, 1908 and Section 16 (c) of the Specific Relief Act by producing some kind of receipt as Evidence which proves that loan has been given to the person.


Jayant garg

Agree Comment 0 Agrees over 3 years ago

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