Payment recovery mechanism against erring foreign importers

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2y ago 14:26

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Focusing on the exporters’ obligations upon non-realization of export payments from erring foreign importers, this article discusses at length the legal and other remedies available with the exporters where the export transactions are not secured in any manner. The article in this regard analyses the civil remedies, remedy through alternative dispute resolution mechanism, remedy through Directorate General of Foreign Trade, and remedy by filing suit against the erring foreign importers in the subject foreign country. Further, since the non-realization/ repatriation of export proceeds is considered a contravention, the options like, representation before the Authorised Dealer Bank and/ or the RBI, write-off and compounding, under the FEMA laws have also been discussed here.
Audio Source : An article published on the LKS website in August 2022
https://www.lakshmisri.com/insights/articles/payment-recovery-mechanism-against-erring-foreign-importers/
Authors: Aman Gupta, Associate (LKS)
Voice : Anushka Verma, Associate (LKS)

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