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Writer's picturelead india
Nov 20, 20233 min read

Legal Notice For Non-Payment Of Dues

A reasonable amount of time is specified in the notification for the recipient to respond or satisfy the stated requirement. When a legal notice is sent seeking payment for past-due obligations, the recipient must pay the sender back the remaining amount. This notification must contain all pertinent information regarding the parties and the recipient's financial obligation.


The aggrieved party files a formal request for recovery of dues with the other party when the latter fails to make the required payment on time. It is an official warning to the other party to pay the money requested, or else the party that feels wronged will file a complaint with the appropriate court and pursue legal action.


The list of persons to whom a legal notice for non-payment of dues may be given does not include any exclusions. A person who has lent money to a friend, relative, or anybody else may receive a legal notification from them. Serving a legal notice of non-payment of dues is a crucial step in recovering the unpaid amounts owed by the borrower.

Legal notice must be given if payments are not made.

An aggrieved party may serve a legal notice for money recovery on an employer, friend, relative, or other person to whom the party has extended credit, provided that the recipient agrees to reimburse the loaned amount within the predetermined time frame. The public would rather have a legal notice served before filing a complaint because most cases are resolved quickly after the notice is sent. Additionally, it spares the harmed party's time and money from having to go to court.


The sender must serve a comprehensive legal notice comprising all relevant and required information. The sender will have the best chance of receiving the outstanding cash if they do this.


Scope of a court notice to reclaim money

A broad legal notice of non-payment of dues covers the following situations:

  • Any situation involving a promissory note or bill of trade.

  • Any financial claim in which the injured party seeks reimbursement for funds disbursed to the other party.

  • The written agreement or a legal provision cited should be used as supporting documentation for the claims that have been made.

The statute of limitations for bringing legal action to recover the outstanding amount

The statute of limitations for bringing a civil suit in India to recover the money owed following the arousal of the cause of action is three years. A civil lawsuit that is filed after the statute of limitations has passed is not going to be upheld. The plaintiff may bring a lawsuit to recover the overdue sum if the court finds a valid justification for the plaintiff's delay in filing after the statute of limitations has passed.


What should be included in a legal notice for failure to pay dues?

Included in the court notice for the collection of dues must be:

  • The advocate is required to write the legal notification of non-payment of dues in a certain way on his or her letterhead.

  • The advocate's personal information, including address and phone number, should be listed on the letterhead.

  • The name, residential address, and phone number of the person to whom the notice is being sent must be included in the document.

  • Since this notification is being delivered on behalf of the person who feels wronged, it is necessary to provide information about that party, including name, address, and contact information, in addition to the deadline for the payment.

  • A paragraph that details how the conduct or omission of the person receiving the notice has violated the rights of the aggrieved party and includes the remedies sought must be included.

  • The notice ought to specify when the other party is required to respond to it or provide the requested information.

  • The aggrieved party who is sending the legal notice and the attorney must both sign and date the notice.

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