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Cognizance for extension of limitation, In Re (2021) 432 ITR 206 (SC)

Constitution of India .

Art . 141 : Law declared by Supreme Court to be binding on all courts – Covid -19 – Limitation – State and Central Acts – Directions issued for exclusion of period from March 15, 2020 to March 14, 2021 — Remaining period to apply from March 14, 2021- [ Arbitration and Conciliation Act, 1996 S, 23(4) , 29A, Commercial Courts Act, 2015 , S.12A, Negotiable Instruments Act, 1881, S.138 ]

The Supreme Court taking cognizance suo motu of the situation arising from difficulties arising out of the Covid-19 pandemic that might be faced by litigants across the country in filing actions within the period of limitation prescribed under the general law of limitation or under any special laws (both Central or State), and on March 27, 2020 extended the period of limitation prescribed under the general law or special laws whether compoundable or not with effect from March 15, 2020 till further orders and this order was extended from time to time. In view of the considerable improvement in the situation, since the courts and Tribunals were functioning either physically or by virtual mode the court took the view that the order dated March 15, 2020 had served its purpose.

The court therefore issues the following directions :

  1. In computing the period of limitation for any suit, appeal, application or proceeding, the period from March 15, 2020 till March 14, 2021 shall stand excluded. Consequently, the balance period of limitation remaining as on March 15, 2020, if any, shall become available with effect from March 15, 2021.
  2. In cases where the limitation would have expired during the period between March 15, 2020 till March 14, 2021, notwithstanding the actual balance period of limitation remaining, all persons shall have a limitation period of 90 days from March 15, 2021. In the event the actual balance period of limitation remaining, with effect from March 15, 2021, is greater than 90 days, that longer period shall apply.
  3. The period from March 15, 2020 till March 14, 2021 shall also stand excluded in computing the periods prescribed under sections 23(4) and 29A of the Arbitration and Conciliation Act, 1996, section 12A of the Commercial Courts Act, 2015and provisos (b) and (c) to section 138 of the Negotiable Instruments Act, 1881 and any other laws, which prescribe periods of limitation for instituting proceedings, outer limits (within which the court or tribunal can condone delay) and termination of proceedings.
  4. The Government of India shall amend the guidelines for containment zones. (Suo Motu W.No. CA 3 of 2020 dt 8 -3 -2021 )