time barred debt

Lawyer

Complainant in his cross admitted that the debt is time barred and beyond limitation. A citation required to show that a time barred debt cannot be enforced. Debt was under co-operative law and case is one u/s 138.
 
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Advocate

Sir a Cheque issued for a time barred debt, not preceeded by a valid
acknowledgement  of debt before expiry of limitation from the
date of loan, on its dishonour, will not attract Section 138S. joseph
Vs Devassia 2001 Cr. L. J 24 (ker)  but  2007 (noc)
2022 (Ker)  opines other way.

 
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Lawyer

Thank you Shrinivas Sir. you gave me the lead.

 
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Advocate

The pleasure is mine sir,

 
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IN SOME STATE FOR CO-OP.SOC.`S DEBT NO LIMITATION APPLICABLE LIKE GUJRAT

 
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Advocate

Dear Salvi,

Mr Srinivas has already given fittest answer with fittest citation but I would like add something more to your qestion. When a party receives a cheque for time barred debt, it helps him in filing a civil suit for recovery of the said amount as the limitation is revived as per section 25(c) of Indian Contract Act. It is definite that the case U/S 138 N.I Act is not maintanable.

 
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limitation is applicable againnt filing a suit only.. it is remedy which is barred, the right of plaintiff is not extitiguished. so he can claim his money by way of other valid modes.

in this case accused u/s 138 NI Act can not take a defence the cheque was issued for a debt that was time barred.

 
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limitation is applicable againnt filing a suit only.. it is remedy which is barred, the right of plaintiff is not extitiguished. so he can claim his money by way of other valid modes.

in this case accused u/s 138 NI Act can not take a defence that the cheque was issued for a  time barred debt.

 
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There are citations available that even time barred debts attracts sec.138.
 
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Advocate

in my opinion even time barred debt can be recovered if cheque is provided as cheque is a promissory note and when a fresh promise is obtained thn as per contract a fresh limitation implies....!! so as to attract criminal liability when one knowingly acknowledges a fresh legal liability and issues cheque in that favour thn s. 138 also shud be implied...

 
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