Salary not paid by a big production house - How can I go legal against them so that they pay immediately with interest?

Hi, I work in the film Industry as a freelancer. My recent project was with a well known company with established producer.

I and my team completed the project last year September 2022. Since then Company has not paid our salaries for the month of August and September. It's been 7 months. Everytime we ask for the salary they give us a date and don't pay on that date. As per the Contract we had singed, we should be paid before 15th of every next month.

I'm very stressed about what should I do? How can I go legal against them so that they pay immediately with interest.

Please guide me through the situation. Thank you.

Dear member,

What is happening with you is unfortunate. But then before taking up the assignment, did you ask for a PO and if the PO is issued, then what are the payment terms? How the completion of the work was defined and have you obtained the work completion certificate from the purchaser?

Since you were not an employee of the company, the employer-employee relationship does not exist. Sans the employer-employee relationship, the labour laws in vogue are not applicable.

Therefore, the only remedy left is to file a civil suit. Your case could come under the provisions of the Indian Contract Act of 1872. Therefore, take the advice of a lawyer who handles the cases under this act.

If your company is registered under MSME, then there is additional legal protection. Possibly, senior members like Mr Saswata Banerjee or Mr Nathrao may be able to throw some light on this.

Thanks,

Dinesh Divekar

Well, the OP has stated some facts but a lot is left unsaid.

So, dear anonymous, please share the contract details or appointment details.
Also explain all circumstances of your work and project and the reason why you didn’t get paid.

I believe there is a producers association and another industry association that protects artists, freelancers and small service providers from the unethical practices of large production houses. What has been their reaction to your complaint ?

What does your contract say regarding delay in payment of salaries?
You have the choice of Civil remedy as it is breach of contract.
If your company is a registered MSME,you can use https://samadhaan.msme.gov.in/MyMsme...C_Welcome.aspx to register your complaint and get redressal.
Pl send a legal notice from a lawyer who deals in salary matters and Contract Act.
I presume you have completed the work required under the contract and even got a completion certificate or at least,there are no disputes raised so far.

Hi,
It is sorry to note that the Producer has not released payment since 7 months for the reasons well known to him. However , check the agreement clause , which will be definitely signed by both the parties. It is better to represent to the producer stating your grievances and request for the early release of payment.

in case it doesn't work out it is better to go for arbitration with the third party, you may approach the matter legally, but it is long process and your reputation with the present firm also deteriorate, is not a good sign for your career development. In life all these things are becoming common, one should have patience and tolerance to take up the issues to its logical conclusion.
You will succeed in your efforts, provided it is taken in a sequential manner.

All the best


With Regards

The agreement was violation of Payment of Wages Act. Payment should be made within 7 days or 10 days as the case may be as per Act, not within 15 days.

You have represent your case verbally several times. Now make a presentation in writing. If there is no response, once again write to producer and mark a copy to the authority under Payment of Wages Act. Better to meet the authority in person and represent the case.

S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
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Dear Nathrao Sir,

How do I get to know if the I company I worked with is MSME registered or not?

BETTER APPROACH MCA[min.of corp.affairs] & gv.ur.dtls.accordingly cos.CS/MD will b directly told to settle pending dues if not banks a/cs.will b freeze & legal action from all state/comm./cent.agency begins incldg.pf/esic/lbr.

Hi PSUNTOSH,

I found companie's record on MCA. Thanks for the suggestion. Just before I proceed to file a complaint against them I would like to understand that how effective and quick action will be? Is this procedure really effective? Also, I would like to mention that I'm not the regular employee of the company, I was contracted for a project on monthly basis.

Here's my contract with the company, with all trust I'm sharing it on this platform that there will be no misuse of it and I'll get clear picture and help about my situation.