Supreme Court Extends Limitation Prescribed under the Arbitration Act and Section 138 of the Negotiable Instruments Act

Supreme Court of India in Suo Moto Writ Petition Civil 3 of 2020 passed an Order dated May 6, 2020 directing that ‘all periods of limitation prescribed under the Arbitration and Conciliation Act, 1996, and under Section 138 of the Negotiable Instruments Act, 1881, will be extended with effect from March 15, 2020 till further orders to be passed by this Court in the present proceedings’. The Order further specified that if the limitation period expires post March 15, 2020, it will be extended by a period of 15 days from the date on which the nationwide lockdown is lifted in the area where the dispute lies or where the cause of action arises.

The Supreme Court by an earlier Order dated March 23, 2020 in the same matter had held that ‘irrespective of the limitation period prescribed in all such proceedings, irrespective of the limitation period prescribed under the Special law or general law whether condonable or not will stand extended w.e.f. March 15 2020 till further order/s to be passed by this Court in present proceedings’.

Published In:Inter Alia - Quarterly Edition - June 2020 [ English Chinese japanese ]
Date: June 30, 2020