Recovery of amount due
Section 17 of the Micro, Small and Medium Enterprises Development Act, 2006 deals with recovery of amount due. For any goods supplied or services rendered by the supplier, the buyer shall be liable to pay the amount with interest thereon as provided under section 16. The Act came into force on 02 Oct 2006.
For any goods supplied or services rendered by the supplier, the buyer shall be liable to pay the amount with interest thereon as provided under section 16.
Section 17, The Micro, Small and Medium Enterprises Development Act, 2006 (Act 27 of 2006).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
This section refers to
Referred to by 1
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Total Application Software Co. Pvt. Ltd. (TASC) v. Ashoka Distillers & Chemicals Pvt. Ltd.
Court's Decision & Legal Precedent
Where a party entitled to recover amounts due under s.17 has not invoked the Facilitation Council under s.18, the MSMED scheme does not oust the Court’s power to appoint an arbitrator under Arbitration Act s.11; s.18’s ‘may’ is enabling, not a mandatory exclusive path until the Council is seized.
On this section: Reads s.17’s ‘amount due’ recovery right as capable of being pursued outside the Council when no s.18 reference has been made, preserving parallel arbitration appointment.
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Questions about Section 17
What have the courts held on Section 17 of the Micro, Small and Medium Enterprises Development Act?
Total Application Software Co. Pvt. Ltd. (TASC) v. Ashoka Distillers & Chemicals Pvt. Ltd. (27 May 2025) is the leading judgment on this section among those set out below: Reads s.17’s ‘amount due’ recovery right as capable of being pursued outside the Council when no s.18 reference has been made, preserving parallel arbitration appointment.
How do I find court cases under Section 17 of the Micro, Small and Medium Enterprises Development Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Micro, Small and Medium Enterprises Development Act 17, section 17 Micro, Small and Medium Enterprises Development Act, section 17 of the Micro, Small and Medium Enterprises Development Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Total Application Software Co. Pvt. Ltd. (TASC) v. Ashoka Distillers & Chemicals Pvt. Ltd. (27 May 2025).
What should I read with Section 17 of the Micro, Small and Medium Enterprises Development Act, and has it changed?
Its own text turns on section 16 (Date from which and rate at which interest is payable), so none of them can safely be read on its own. 1 other provision in this corpus refers back to it.
When did Section 17 of the Micro, Small and Medium Enterprises Development Act come into force?
Section 17 of the Micro, Small and Medium Enterprises Development Act, cited as Micro, Small and Medium Enterprises Development Act 17, came into force on 02 Oct 2006, having been enacted on 16 Jun 2006. It is in force as at the date shown on this page.
Other sections of this Act
- 3. Establishment of Board885 words
- 7. Classification of enterprises763 words
- 2. Definitions619 words
- 8. Memorandum of micro, small and medium enterprises349 words
- 29. Power to make rules313 words
- 18. Reference to Micro and small Enterprises Facilitation Council290 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 16 Oct 2026. This page is not a substitute for legal advice.