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Furnishing Store V. Textile Supplier

Date of Claim raised: 20/11/2022
Date of Conciliation: 22/11/2022
Date of Settlement: 22/11/2022
Digest: Mediation/Conciliation/Dispute/Claimant/Respondent/Invoice/Settlement
Case Summary

In a dispute between Furnishing Private Limited, (the Claimant) a renowned manufacturer, supplier, and exporter of curtain fabrics, and the Respondent, a provider of textiles to curtain suppliers, the Claimant alleged non-payment of a disputed amount of Rs. 10,000/-. The Claimant sought the disputed amount, emphasising the Respondent's failure to fulfill their payment obligations. Meanwhile, the Respondent claimed that they had already made the payment and provided evidence to support their assertion. Unable to reach a consensus, the case was referred to PrivateCourt for resolution.

The Issue:

This dispute arose between Furnishing Private Limited, a leading manufacturer, supplier, and exporter of curtain fabrics, and the Respondent, a provider of textiles to curtain suppliers. The Claimant alleged non-payment of a disputed amount of Rs. 10,000/- by the Respondent. According to the Claimant, the Respondent failed to fulfill their payment obligations despite multiple reminders and demands. They argued that the non-payment caused financial strain and breached the agreed-upon terms.

On the other hand, the Respondent contested the claim, asserting that they had already made the payment within the specified timeframe. They provided evidence of the payment transaction and claimed that the Claimant's allegations were baseless. The disagreement persisted, leading both parties to seek the intervention of PrivateCourt for resolution.

The PrivateCourt Proceedings:

PrivateCourt's team handled the case with utmost professionalism and adherence to protocols. They began by requesting relevant documents and records from both parties to assess the merits of their claims. Thorough vetting was conducted to verify the authenticity of the alleged payment and any associated discrepancies. The Sole Conciliator from PrivateCourt scheduled a Conciliation session via Zoom and audio conference calls as per the Notice of Conciliation. However, prior to the scheduled session, the Respondent had a discussion with PrivateCourt's team and expressed their willingness to settle the issues by paying the entire disputed amount. This development marked a significant breakthrough in the case, as the Respondent acknowledged their payment obligation.

The Settlement Agreement:

Following the Respondent's decision to settle the dispute, PrivateCourt facilitated the drafting of a settlement agreement. The agreement stated that the Respondent would pay Rs. 10,000/- to the Claimant as a full and final settlement. The payment was to be made on or before 20th December 2022, ensuring a specific timeline for resolution.

Additionally, the settlement agreement included a clause stipulating that any future claims or disputes related to this agreement would be resolved through e-arbitration, following the rules of PrivateCourt. This provision ensured a clear mechanism for addressing potential conflicts and maintaining a harmonious business relationship.

The Inference:

This case highlights the effectiveness of ADR as a reliable and efficient method that enabled the parties to resolve their dispute in a timely manner, avoiding lengthy litigation processes and associated costs. The settlement agreement provided a definitive resolution and established a framework for future dispute resolution. PrivateCourt's commitment to fairness, unbiased solutions, and adherence to protocols proved instrumental in achieving a successful outcome for both the Claimant and the Respondent.