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Rajan Salvi (Lawyer)     29 August 2008

time barred debt

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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 12 Replies

Srinivas.B.S.S.T ( Advocate)     29 August 2008

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.

Rajan Salvi (Lawyer)     29 August 2008

Thank you Shrinivas Sir. you gave me the lead.

Srinivas.B.S.S.T ( Advocate)     29 August 2008

The pleasure is mine sir,

hiteshjdpandya (lawyer)     31 August 2008

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

V.V.RAMDAS (Advocate)     09 April 2009

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.

Swami Sadashiva Brahmendra Sar (Nil)     11 April 2009

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.

Swami Sadashiva Brahmendra Sar (Nil)     11 April 2009

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.

Bhaskaran Advocate (Lawyer)     08 June 2009

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

Adv.Husain (Advocate)     07 April 2010

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...


(Guest)

Rajan sir,

In Maharashtra under the co operative law the period of limitation is 6 years.

Arif Iqbal (Advocate)     17 April 2010

Once a cheque is given in respect of a time barred debt, fresh period of limitation starts as per Limitation Act. The debt remains no longer time barred. The holder of the cheque is now entitled to recover the money by filing a civil suit. Section 138 NI Act will also be attracted if the cheque is dishonoured.

AEJAZ AHMED (Legal Consultant/Lawyer)     18 April 2010

Kindly go through the attached file of Judgments


Attached File : 53 53 138.rar downloaded: 199 times

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