For dues from a brand, the free consultation reviews the distribution agreement, scheme circulars, claim submissions and credit-note history, and recommends a reconciled claim and advocate's notice, with arbitration under the agreement or a suit if ignored. For dues from retailers, it reviews invoices, delivery records, cheques and the ledger, and recommends notices, Section 138 for bounced cheques, and summary suits for the largest accounts. Nothing upfront; 30% on recovery.
Dues from the brand or principal
- Scheme and incentive payouts promised in circulars but never credited
- Damage, expiry and return credits pending for months
- Rate-difference and price-protection claims
- Security deposit held after termination of the distributorship
- Stock returned on termination but not credited
The distribution agreement governs: check the claim procedure and deadlines, the set-off clause, the termination provisions and the dispute clause. A reconciled claim, submitted formally and followed by an advocate's notice to the brand's finance head, is how most brand dues are recovered. If the agreement provides for arbitration, that is the route if the notice fails.
Dues from retailers
Retailer dues are classic trade debts: invoices, delivery records, cheques and a ledger. The consultation sorts your retailer list by amount, proof and behaviour: the largest and cleanest get an advocate's notice; bounced cheques get Section 138 notices within the 30-day window; small balances get a structured reminder. For distributors with hundreds of outlets, collect.fundraksha.com runs the reminder stage automatically.
Routes at a glance
| Counterparty | Route after notice |
|---|---|
| Brand with arbitration clause | Arbitration; award enforced as a decree |
| Brand without arbitration clause | Suit for the reconciled amount |
| Retailer with bounced cheque | Section 138 complaint |
| Retailer with undisputed invoices | Summary suit for the certain sum |
| Retailer who has shut shop | Assess personal liability and assets before spending |
Next steps
Bring the distribution agreement, your claim submissions and credit-note ledger for the brand side, and the ageing report, sample invoices and bounced cheques for the retailer side. If you decide to go ahead, a dedicated advocate is assigned within 24 hours of your complete documents and the legal notice goes out as an e-notice, followed by registered post. Nothing is charged upfront. If you proceed, FundRaksha Legal charges 30% only on the amount actually recovered; if nothing is recovered there is no success fee. Court fees, where a matter is filed, are borne by you and told to you in advance.
See FMCG distribution and pharma distribution, agri inputs, and city pages for Indore, Lucknow and Guwahati.
Last reviewed: 2026-10-08. Information for Indian businesses; not legal advice.