Recovering money owed to you—whether in a business transaction, property dealing, loan to an individual, or unpaid service—is one of the most common legal issues individuals and businesses face in India. When repeated reminders fail and the debtor refuses to pay, the law provides clear remedies to help you recover your dues legally and effectively.

This blog explains how debt recovery works, what a recovery suit is, and how Sachar Law Firm can help you recover your money efficiently.

What Is a Recovery of Money Case?

A recovery case is a legal action filed by a creditor (person who is owed money) against a debtor (person who owes money) to recover:

• Unpaid loan amounts

• Business dues

• Cheque bounce amounts

• Unpaid property payments

• Advance amounts

• Unpaid salary or service charges

• Any legally recoverable debt

If negotiations fail, the most effective legal remedy is filing a civil recovery suit.

How to Recover Money Through a Recovery Suit

1. Issue a Legal Notice

Before filing a case, a legal notice is sent to the debtor demanding payment within a specified time (usually 15–30 days).
This notice:

• Serves as formal communication

• Shows your readiness to take legal action

• Sometimes results in immediate settlement

2. Choose the Correct Legal Remedy

Depending on the situation, several legal remedies are available:

a. Civil Suit for Recovery of Money (Order 37 Summary Suit or Regular Suit)

A civil suit is filed in the appropriate civil court seeking recovery of the unpaid amount along with interest and costs.

Summary Suit under Order 37 CPC (used when documents are strong):

• Faster than regular suits

• Debtor must seek permission to defend

• Very effective where signed documents exist (loan papers, invoices, cheques, agreements)

Regular Civil Suit:

• Used when dispute may require evidence or witness examination

b. Criminal Action (if applicable)

In certain cases, criminal charges may apply, such as:

• Cheque Bounce (Section 138 NI Act)

• Criminal breach of trust (Section 406 IPC)

• Cheating (Section 420 IPC)

These cases increase pressure on the debtor to settle.

c. MSME Recovery (If creditor is MSME)

Under MSME Act:

• Claims can be filed on the MSME Samadhan portal

• Debtor must pay within 45 days

• Heavy interest @ 3x bank rate is applicable

3. Filing the Recovery Suit

Once the debtor fails to pay even after legal notice, your lawyer prepares:

• Plaint (main recovery claim)

• Supporting documents

• List of witnesses

• Court fees based on amount claimed

The suit is filed in the court where:

• The debtor resides

• The cause of action arose

• The transaction took place

4. Court Proceedings

After filing, the following steps usually occur:

1. Court issues summons to debtor

2. Debtor appears and files written statement

3. Arguments on issues

4. Evidence stage

5. Final arguments

6. Court passes decree ordering repayment with interest

In summary suits, this process is much faster because the court gives limited opportunity to defend.

5. Execution of Decree (Actual Recovery)

Winning a case is step one.
Getting your money is step two.

Once decree/order is passed, if the debtor still doesn’t pay, the court can:

• Attach debtor’s movable or immovable property

• Freeze bank accounts

• Order salary attachment

• Seize assets

• Auction property

• Direct police assistance

Execution ensures the actual recovery of the amount decreed by the court.

Documents Required to File a Recovery Suit

Depending on the case, the following documents may be used:

• Agreement/contract

• Promissory note

• Cheques / cheque bounce memo

• Bank statements

• WhatsApp/Email communications

• Invoices/bills

• Account ledgers

• Any written acknowledgment of debt

How an advocate helps in recovery suit?

Advocate handle civil and criminal debt recovery matters with a structured and time-bound approach.
His services include:

• Drafting & issuing legal notice

• Filing recovery suits (Order 37 & Regular)

• Cheque bounce cases

• Execution petitions to ensure actual recovery

• Negotiation and settlement assistance

• End-to-end representation in District Courts & Sessions Courts

• He focus on fast, effective, and legally sound recovery strategies to ensure minimum delay and maximum results.

Conclusion

Money stuck with someone can affect your business, financial stability, and peace of mind. Indian law provides strong remedies for recovery—through civil suits, criminal complaints, MSME channels, and execution proceedings.

A well-drafted notice, timely filing of recovery suit, and professional legal representation significantly increase your chances of getting your money back.