LEGAL NOTICE

By Regd. Post/Electronic Mode

DATE: 30.11.2024

To,

MR. XXXXXXXXX

Proprietor

M/S. XXXXXXXXXXXXXXXX
Having office at ‘______________________________

Mob. No. _______________________
Email: ____________________________

WITHOUT PREJUDICE

SUB: LEGAL NOTICE FOR REFUND AMOUNT OF ₹10,00,000/- ALONGWITH INTEREST AT @ 18% PER ANNUM, DAMAGES FOR LOSS OF BUSINESS WORTH OF ₹50,00,000/- AND CONSEQUENTIAL LOSSES OF ₹20,00,000/-FOR CONTINUED VIOLATIONS OF YOUR OBLIGATIONS UNDER THE LAW.

Dear Sir, 

Under instructions from my client, XXXX Healthcare Pvt. Ltd., a company having its registered office at XXXXXXXXXXXXX (hereinafter referred to as “my client”), I hereby serve upon you the addressee, the following legal notice.

Please be informed that, this letter serves as a formal legal notice of default upon by you, the Addressee, regarding the refund of paid amount along with damages for the loss of business as well as, consequential losses and interest at @ 18% per annum, along with other reliefs and also continued violations of your obligations under the law. Despite several attempts to resolve this matter amicably, my client have been left with no option, but to take legal action to claim what is rightfully due to my client.

This notice is being issued without prejudice to my client's rights and contentions and without waiving any of right of my client or remedies available in law or equity. I hereby serve upon you, the Addressee, with the present legal notice which is as under:-

1.                 That, on 29th January 2024, my client placed an order with your representative, Mr.S, for a 30” Turntable Liquid Filling Machine, incorporating a filling capacity of 5-30 ml and a production speed of 50 pieces per minute. The machine was to include a tank and an conduction sealing system.

2.                 The technical discussions and negotiations culminated in an agreement for the machine to be delivered for a total consideration of ₹12,00,000/-. It was further mutually agreed that delivery would be completed within 45 days from the date of advance payment. My client promptly paid an advance of ₹4,00,000/- on the same date i.e  29^th January to you the Addressee.

3.                 That upon receiving confirmation from your end regarding the readiness and proper functioning of the machine, my client, in good faith, paid an additional sum of ₹3,00,000/-.

4.                 That on 19th April 2024, the machine was dispatched, and after its receipt, an another ₹2,00,000/- was transferred to you the Addressee. Despite repeated follow-ups, the installation was delayed, and you the Addressee demanded a further payment of ₹1,00,000/- as a precondition for sending an engineer for installation.

5.                 My client, relying on assurances from you the Addressee, transferred the amount on 28th May 2024, bringing the total payment made by my client to ₹10,00,000/-. Upon installation, the machine failed to function as per the agreed specifications. Specifically:

Ø Wrong Machine Supplied: The machine delivered was a straight filling machine instead of the agreed turntable model.

Ø Change in Sealing System: The supplied machine used induction sealing instead of the conduction sealing as agreed.

Ø Inferior Quality of Tank and Labeling Machine: The supplied equipment was non-compliant with the technical specifications discussed and confirmed. These grave discrepancies amount to a breach of contract with my client and complete non-performance of your obligations under the agreement.

6.                 You the Addressee assured my client that, the defective equipment would either be replaced or rectified within one month. However, despite repeated follow-ups and numerous reminders, no action has been taken to resolve the issue of my client regarding the wrong machine supplied to my client.

7.                 That you the Addressee and your representative have become unresponsive, failing to acknowledge calls or respond to messages, which demonstrates mala fide intentions and amounts to fraudulent conduct of you the Addressee. However, you the addressee has consistently delayed and evaded the matter collusively, providing unjustifiable excuses and assurances of replacement of wrong machine or refund of money without any concrete action.

8.                 It is imperative to highlight that, the non-replacement of wrong machine is a breach of the mutual agreement between you and my client. This breach has caused significant financial hardship and mental distress to my client. Despite the clear and mutually agreed-upon terms of payment, you have failed to fulfill your obligations, thereby breaching the trust and agreement between themselves and my client.

9.                 It seems that, your intentions are not clean and Bonafide and you have cheated, my client in this regard and thereby deceived him. From your conduct, it is very clear that, your sole intention to cheat my client and thereby caused wrongful gain to themselves and wrongful loss to my client. You the addressee is also liable to criminal action for cheating my client for which, my client will proceed against you, the Addressee in accordance with law as advised.

10.             That despite numerous requests and reminders being made by my Client; you, the Addressee, having mischievous and malaise intent from the start, have repudiated the requests of my Client seeking replacement of wrong machine supplied or refund the payment to my client by you the addressees.

11.             That till date, my Client has been made to suffer huge financial losses including loss of business and opportunities, and such has caused severe hardships to my Client for which you, the Addressee, is severely and legally liable.

12.             Due to your gross negligence, misrepresentation, and breach of trust, my client has suffered the loss of business worth ₹50,00,000 due to the inability to meet the requirements of the end customer, as the supplied machine was entirely unfit for the intended purpose. Further my client’s entire project has been stalled for several months, resulting in substantial operational disruption and financial losses amounting to ₹20,00,000/-. Additional costs have been incurred due to the rented space occupied by the non-functional machine. Your conduct has not only caused significant financial strain but also damaged my client’s reputation in the market due to the inability to fulfill contractual commitments.

13.             That, my client has given you, the Addressee, more than adequate time to replace the defective machine or refund the amount and interpret your silence as a deliberate attempt to procrastinate the matter. That my Client is not prepared to bear with the situation anymore and have instructed us to initiate appropriate proceedings against you, the Addressee, to the effect of recovery of the said Amount along with interest in addition to filing of criminal case(s) against the unlawful acts being committed by you, the Addressee.

In view of the aforementioned facts and circumstances, my client hereby makes the following legitimate and unequivocal demands:

i.        Refund the entire sum of ₹10,00,000/- paid to you, along with interest at the rate of 18% per annum from the date of each payment until full realization; and

ii.       Pay damages for loss of business opportunity amounting to ₹50,00,000/-; and

iii.      Compensate my client for consequential losses, operational disruption, and rental costs amounting to ₹20,00,000/-; and

iv.      Replace the defective machine with one that fully complies with the agreed specifications, including a turntable model with induction sealing, as originally promised; and

v.       To pay Rs.50,000/- qua the cost of this Legal notice and any other incidental expenses incurred due to your non-performance.

OR

i.        To prepare to face legal action both civil and criminal in the court of law for the aforementioned recovery of said Amount and also damages on account of the loss of business, reputation and mental harassment caused to my Client.

We await your prompt response to this legal notice within 15 (Fifteen) calendar days from the date of the delivery of the current legal notice.

A copy of the same is being retained in my Office for future reference/action.          

Yours faithfully

(XXXXXXXXXX)

Advocate