Sumit’s construction company, La Vista Developers, was hired to build a sports complex in Dehradun.
Sumit leased the construction equipment from Prashant for a monthly fee. Unfortunately, when Sumit returned the machinery after completing the project, Prashant noticed that it was severely damaged, and would cost ten lakhs to repair.
When Prashant informed Sumit about the damage, he refused to pay the repair costs. Prashant was in a fix as he had to repair the equipment as soon as possible to be able to rent it out again. The time it would take to get the machinery repaired meant that Prashant would lose a lot of business.
Prashant’s friend Sushil suggested that he take legal action. Prashant took his advice and filed a case against Sumit. Meanwhile, to get the equipment repaired and support his daughter’s higher education, Prashant had to take a loan of rupees 15 lakhs. The court took four years to grant a verdict in Prashant’s favor.
If Prashant’s agreement with Sumit had had an Online Dispute Resolution clause, his dispute could have been resolved within a matter of weeks.
Disclaimer: All characters and names are fictional. This is a public interest story, produced by House Court, an online arbitration platform.
