Payment not received for Service rendered: What Steps to Take?

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THANGARAJ JAMES asked 5 years ago

Payment not received for Service rendered: In 2018, My wife and myself started manpower recruitment service at our home, by selecting various candidates for jobs. We will send them for interview and if they selected by the company, then we will receive charges (8.33% on annual CTC) from that company. In March-18, we send one candidate for interview to a concern called 'EVP Film City, Chennai and she was selected for accountant post. In April-18 we raised invoice on that company for Rs.24990/-, but till date there not paid the amount. We have not made any written agreement, but initially we send email stating the terms and conditions, payment period etc.

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Payment Not Received: What to Do About Unpaid Recruitment Service Charges?

As per the mail, the payment should be paid within 20 days from the date of joining of the candidate. and if the candidate resigned with 90 days, we will replace that position at free of cost. That company's HR accepted the same through phone only and requested us to send the candidate for interview. But now till date we have not received our payment. In Nov-18, I made a police compliant against them, but no proper solution received from police officials.. Kindly suggest on Payment not received for Service rendered issue.

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chennai legal firm Staff answered 2 months ago

Step-by-Step Legal Solution for Unpaid Recruitment Service Charges:

Review Initial Communication:
- Gather all email correspondence and documentation related to the recruitment service agreement, including the terms and conditions stated in the initial email.
Assessment of Legal Rights:
- Consult with a qualified attorney specializing in contract law or commercial disputes to assess your legal rights and options for recovering the unpaid charges.
Evaluation of Evidence:
- Provide the attorney with all relevant evidence, including the email communication, invoice, and any other documentation supporting your claim for payment.
Demand Letter:
- Draft and send a formal demand letter to the company that owes payment for the recruitment services. The letter should outline the terms of the agreement, the amount owed, and a deadline for payment.
Negotiation Attempt:
- Attempt to negotiate with the company for payment of the outstanding amount. Your attorney can represent your interests and seek to reach a mutually agreeable resolution.
Legal Action Consideration:
- If negotiation efforts are unsuccessful, discuss with your attorney the possibility of taking legal action against the company for breach of contract or non-payment of services rendered.
Pre-Litigation Remedies:
- Explore pre-litigation remedies such as mediation or arbitration to resolve the dispute outside of court. These alternative dispute resolution methods may help facilitate a settlement without the need for formal litigation.
Filing a Lawsuit:
- If all other attempts to resolve the matter fail, your attorney can assist you in filing a lawsuit against the company in civil court to recover the unpaid charges for the recruitment services.
Court Proceedings:
- Attend court hearings and participate in the litigation process as necessary. Your attorney will represent your interests and advocate for the enforcement of your contractual rights.
Enforcement of Judgment:
- If the court rules in your favor and issues a judgment against the company, your attorney can help you enforce the judgment to collect the unpaid charges, which may include garnishing wages or placing liens on the company's assets.
Consideration of Additional Remedies:
- Explore additional legal remedies available under applicable laws, such as statutory interest on overdue payments or reimbursement of legal fees incurred in pursuing the claim.
Documentation and Record-Keeping:
- Maintain thorough documentation of all legal proceedings, correspondence, and financial transactions related to the unpaid recruitment service charges for future reference.
Compliance with Legal Requirements:
- Ensure that all actions taken to recover the unpaid charges comply with relevant legal requirements and procedures to avoid any potential legal challenges or setbacks.
Monitor Payment Status:
- Continuously monitor the status of the payment and follow up with the company as necessary to ensure compliance with any court orders or settlement agreements.
Seek Further Legal Advice:
- If you encounter any obstacles or complexities during the legal process, seek further advice and guidance from your attorney to navigate the situation effectively and protect your legal rights.

By following these steps and working closely with your attorney, you can take proactive measures to address the issue of unpaid recruitment service charges and pursue appropriate legal remedies to recover the outstanding amount.

Payment Not Received: What to Do About Unpaid Recruitment Service Charges?

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