Quality disputes raised after the due date rarely survive a notice that attaches the CoA and shows no complaint was made on delivery. Bounced cheques go under Section 138; Udyam-registered manufacturers use Samadhaan against larger buyers.
Chemicals, dyes and petrochemicals in Mumbai
Mumbai is India’s largest B2B market and its dues are the most varied: garment exporters in Dharavi and Andheri, chemical traders in Masjid Bunder, agencies and consultants billing corporates in BKC and Lower Parel. Cheque-based payments are still common in trading, so Section 138 is a frequent route, and arbitration clauses in corporate contracts often decide where a dispute is heard.
30 to 90 day credit, often with cheques; disputes about quality, shade or moisture used to delay payment.
Proof to collect
Typically invoices with batch numbers, CoA and test reports, delivery challans and e-way bills, and the buyer’s acceptance or lack of timely complaint.
- Avoid: no CoA attached to the delivery
- Avoid: shade or quality approvals given verbally
- Avoid: long-standing running accounts with no reconciliation
Forums in Mumbai
| Route | Forum |
|---|---|
| Section 138 (cheque bounce) | Metropolitan Magistrate courts (Esplanade, Mazgaon, Andheri, Bandra, Kurla and others) for Section 138 complaints |
| Summary suit / recovery suit | City Civil Court and the Bombay High Court Commercial Division for high-value recovery suits. |
| MSME Samadhaan | Maharashtra Micro and Small Enterprises Facilitation Councils (regional councils for Mumbai, Pune, Nashik, Nagpur, Aurangabad and Amravati regions) (detail) |
| Arbitration | As per the contract clause |
How FundRaksha works for chemicals, dyes and petrochemicals suppliers in Mumbai
- Free assessment of the documents your trade produces.
- Notice within 24 hours, itemising invoices, disputed and undisputed amounts and interest.
- Negotiation and documented settlement.
- Filing in Mumbai or before the Council if needed.
30% on recovery, nothing upfront.