Steel trade dues are large and time-sensitive: a legal notice within days, Section 138 for bounced cheques, and a summary suit for the balance. Mills and fabricators with Udyam registration can add MSME Samadhaan against corporate buyers.
Steel, metals and scrap trading in Ludhiana
Ludhiana’s hosiery, bicycle and machine-tool units sell to distributors and brands across India on 60 to 120 day credit, with post-dated cheques still common in the trade. Section 138 and MSME Samadhaan (Punjab’s Facilitation Council) cover most situations, and a notice sent within days of the default is what keeps a hosiery season’s dues recoverable.
High-value lots, 15 to 60 day terms, cheque payments and price-fluctuation disputes.
Proof to collect
Typically invoices with weight and grade, weighment slips, e-way bills and LRs, mill test certificates and cheques.
- Avoid: rate confirmed only verbally when prices move
- Avoid: weight disputes with no joint weighment
- Avoid: cheques collected but deposited late
Forums in Ludhiana
| Route | Forum |
|---|---|
| Section 138 (cheque bounce) | Judicial Magistrate courts, Ludhiana, for Section 138 |
| Summary suit / recovery suit | District Court, Ludhiana, and its Commercial Court for recovery suits |
| MSME Samadhaan | Punjab Micro and Small Enterprises Facilitation Council (detail) |
| Arbitration | As per the contract clause |
How FundRaksha works for steel, metals and scrap trading suppliers in Ludhiana
- 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 Ludhiana or before the Council if needed.
30% on recovery, nothing upfront.