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How LegalPay Helped Blowhorn Recover ₹8 Crore in Outstanding Dues with a No Win, No Fee Litigation Strategy


Blowhorn

As India's largest litigation funder, LegalPay is committed to helping businesses like yours recover outstanding dues. Our recent success with Blowhorn demonstrates how our services can significantly impact. 


 

Client: Blowhorn  


Case Challenge: Blow Horn, a leading logistics company, found itself in challenges due to commercial disputes and outstanding invoices, which were negatively impacting their cash flow and overall business operations. Seeking a resolution, they turned to LegalPay for assistance in recovering their outstanding dues and provided a portfolio of 100 cases worth ₹8 crore.   


 

Stage 1: Initial Assessment and Amicable Resolution  


Upon engaging with LegalPay, the first critical step was an assessment of the case. LegalPay's expert team scrutinized the details of the debt, the contractual agreements, and the history of communication between Blow Horn and its defaulters. Following a comprehensive analysis, LegalPay determined that pursuing recovery of outstanding dues through legal means was the best course of action at this initial stage.  


LegalPay promptly initiated Stage 1 of the recovery process:  


1. Legal Notices: After a comprehensive analysis, LegalPay dispatched official legal notifications to the defaulters, explicitly outlining the outstanding dues, contractual terms, and the legal ramifications associated with non-payment.  


2. Communication: LegalPay maintained consistent telephonic follow-ups and email escalations to engage the defaulters in discussions regarding the outstanding dues.  We conduct a thorough stakeholder analysis and find the right party to contact. 


3. Mediation & Conciliation: LegalPay utilized its online dispute resolution platform and coordinated with their extensive network of lawyers to facilitate a mediation process between Blow Horn and its defaulters, aiming for a mutually agreeable resolution whenever applicable. This comprehensive approach underscores our commitment to resolving disputes efficiently and fairly.  


The outcome from Stage 1: 


LegalPay’s diligent pursuit in Stage 1 resulted in a successful recovery. Many defaulters recognized the gravity of the situation and the potential legal consequences, leading them to settle a significant number of disputes. The recovery was completed in this stage, marking a significant victory for Blowhorn. 


What if, despite all the efforts in Stage 1, Blowhorn still hadn’t received the payment? 


If Blow Horn had not complied with Stage 1 to make the payment, LegalPay would have been prepared to advance to Stage 2 & 3. 


 

Stage 2: Litigation and Recovery

 

In Stage 2, LegalPay pursued all necessary legal actions to recover the outstanding dues, which included going to higher courts. This stage encompassed the following processes.   


- Case Assessment & Filing: LegalPay proceeded by preparing and submitting summary suits, civil recovery suits, arbitrations, MSME Samadhan applications, or any other applicable legal remedies. LegalPay carefully evaluated the optimal legal course of action tailored to Blowhorn's specific circumstances.  


- Cost Coverage: LegalPay covered all associated expenses, including filing fees, stamp duty, lawyer fees, and any other costs related to the lawsuit.  


 

Stage 3: Execution of petition/order:  


In Stage 3, LegalPay would focus on executing the outstanding dues recovery judgment/decree. This involves taking necessary actions to enforce the order, which may include:  


a. Enforcement Actions: LegalPay would initiate actions such as asset seizure, bank liens, or other legal measures to recover the outstanding dues as per the court's order. 

 

b. Supreme Court Defense: If required, LegalPay would represent in the Supreme Court any legal defense/proceedings related to the outstanding dues recovery order, ensuring the successful execution of the judgment. 


c. Party tracing and Asset Tracing: Utilizing our cutting-edge technology, we facilitate the identification of parties involved in the legal disputes. Moreover, we conduct asset tracing as required to ascertain the financial status and liquidity of a party's corporation. 


 

No Win, No Fee Structure: A Key Advantage 


One of the significant advantages of partnering with LegalPay was our "No Win, No Fee" structure. This innovative approach eliminated the financial burden of upfront legal costs for Blow Horn. By assuming the risk of the case, LegalPay enabled Blow Horn to pursue legal action without compromising its financial stability. 


Conclusion 


LegalPay's expertise in commercial dispute resolution and recovery, coupled with our "No Win, No Fee" structure, played a crucial role in helping Blow Horn overcome its challenges. Our strategic approach, combined with our online dispute resolution platform, provided a comprehensive solution that delivered tangible results




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