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Author Topic: Cancelled an order, company not refunding our money, requesting advice.  (Read 575 times)

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Offline heraclesp

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I'm the director of Hankavalshier Food Products Private Limited. We were looking for a machinery for our business and we contacted Sakthi Automated Food Machine Company, Coimbatore for it. They sent us a video and a photo of the machine and a quotation - a performa invoice. There were no terms mentioned other than the price - even which I had asked them to revise and send. That didn't happen. I told them that the revised price should be 35500 and the owner Mr. Sabari, agreed to it. He asked me to pay 50% before shipping it. I sent him 17750 rupees to their sister concern upon his request - Manchester Food Products private limited.

I specifically asked him to let me know BEFORE shipping it and that I will confirm if they can ship it via Parveen travels bus (which we had to travel 20 kms to go and get the machine from - which wasn't feasible for us unless the machine was placeable in our vehicle - tvs xl) or if they should wait until they send out bulk shipment.

They shipped it to Parveen travels Coimbatore office without getting confirmation from me. I wasn't given a proper demo or photo of the finished product.

We were in a tight spot around that time financially - so I decided to ask them to take the machine back, asking for our money back, cancelling. After 3 days and 200-300 calls of pleading, requesting, begging and whatnot - they returned 15000 rupees only saying they'll withhold 2750.

Sabari asked me to talk to Karthikeyan (partner) and finalize the cancellation process. Karthikeyan agreed that they will refund the entire money on or before Jan 30th, 2018 (after selling the machine if before Jan 30th, and on Jan 30th, irrespective of sale).

Now, when i contact them, they said that they won't return the money and will take that 2750 as cancellation charges - of which 500 is transportation charge.

Sabari - who is the owner, got frustrated and asked me to talk to his partner Karthikeyan - and finalize the cancellation process. Karthikeyan said that they'll either sell the machine and refund the money - or in either case, refund the money on Jan 30th, 2018. We agreed on this, and let it rest. Conveyed the same to Mr. Sabari through whatsapp message. They said 500 will be deducted as transport charges, rest 2250 will be refunded on Jan 30th whether or not they have sold the machine. Karthikeyan said this and we agreed. We also said that if we were to purchase the machine before Jan end, that the same amount will be discounted for our purchase cost, otherwise it will be refunded.

Today, we called Mr. Karthikeyan, he didn't pick up. We called Mr. Sabari - he said that he's not going to refund or honor what Karthikeyan agreed on and said he is never returning our money. He said he'll deduct the amount from our purchase if we purchase before march 31 or he'll write it off as cancellation charges (which was never disclosed or given as terms before we sent the money or with performa invoice).

I told him that we'll not honor the GST invoice as the terms weren't disclosed before and this feels like an extortion - since nobody levies cancellation charges upwards of 15-20% without being upfront about any charges, even if it is buried under fine print.

We want our money back and they are not refunding or honoring what Mr. Karthikeyan, one of the partners, agreed upon. We gave them a deal - to return the money after selling the machine, on or before June 30th 5PM, 2018. Sabari now said they can't - and beyond March 31st, the money is gone forever.

This felt illegal, but I don't know anyone with legal expertise to guide me along for this issue. It's a small amount, but these guys have pushed us around, kept on cutting calls, kept on dodging us, and we (myself and my assistant) had to go through a lot of ordeal, and mental frustration getting the 15000 back the first time out of 17750. Now, 2250 rupees is stuck with them and we have no recourse to get this from them.

Any legal suggestions, guidance will be helpful.

Offline advjaibansal

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Re: Cancelled an order, company not refunding our money, requesting advice.
« Reply #1 on: January 30, 2018, 08:04:04 PM »
Please issue a legal notice to start with, if money not refunded then file a consumer court case as you are consumer in its own sense.

jai bansal
Advocate, New Delhi
Supreme Court of India
mobile: 09868566649

Offline kalaskarkk

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Re: Cancelled an order, company not refunding our money, requesting advice.
« Reply #2 on: February 02, 2018, 12:36:01 AM »
Dear Sir,

You may please follow the advise of Mr. advjaibansal Advocate.

Kishan Dutt Kalaskar
Retd Judge and Advocate
No.74, 1st Floor, “Disley”  House,
Malleswaram, Bengaluru-560003.
Mob: 9686971935, 080-23461189
Call me for clarification


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