Legal Question in Technology Law in India

Hello
We are a PVT LTD company in the field of IT and ITES, we have few vendors working under us and recently we outsourced a process to few vendors, client gave us a lot of time to overcome the quality issues but the vendors did not able to mange and the project got canceled due to the non performance of the vendors and the vendors first billing was cleared according to the agreed terms of the contract. we worked with the vendors for two billing cycles and after the second cycle also when the vendors did not cope with the work the work got canceled. we as a company assured that we would talk to the client and get the payment and try to solve their billings, But yesterday vendors filed a NC complaint against our company stating that no bill got cleared and few other charges. we asked if they have any issues they can send go legal with us as this does not fall under criminal Offence. we want to know when we have contract in place can any one lodge a criminal case on us? is any police officer has a right to file a NC Complaint without the orders from a Magistrate? How can i defend our company? How can we save our company reputation as it will effect our company status in the market very badly? Please advice how we can go a head.

Asked on 11/30/10, 6:36 pm

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There is a breach of contract instead of criminal liability. If one party is unable to perform as per contract signed in between.

Try to negotiate this matter with contractor.

Answered on 11/30/10, 7:37 pm

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