AI Overview...
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Promise to Pay Time-Barred Debt - A verbal or written promise to pay a debt that has become time-barred under limitation law is generally considered valid and can serve as good consideration for a new contract. Courts have held that such promises can revive enforceability despite the original debt being barred by time Ibrahim Mallick VS Lalit Mohan Roy - Calcutta, Bhartiya State Bank VS Bhanjan Singh - Current Civil Cases, P C CHERIAN vs KUMARAN VAIDHYAR AND ANOTHER - Kerala, Vimla Pradhan VS United Commercial Bank - Madhya Pradesh, Indian Bank VS C. K. Syed Mohammed - Kerala.
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Consideration and Validity - Under Section 25(3) of the Indian Contract Act, a promise to pay a time-barred debt is recognized as valid consideration, enabling the creditor to enforce the promise. The law treats the debt as not extinguished but only the remedy barred, allowing a fresh cause of action upon a new promise P C CHERIAN vs KUMARAN VAIDHYAR AND ANOTHER - Kerala, Govind Prasad Patel VS Dhani Ram Patel - Madhya Pradesh, [BISHAMBHAR DAYAL
VS VISHWANATH AGARWAL -
Allahabad](https://supremetoday.ai/doc/judgement/02500039711).
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Enforcement and Legal Effect - Such promises, whether verbal or written, can lead to enforceable obligations, and courts have upheld suits based on these promises even when the original debt was barred by limitation. The acknowledgment or promise effectively resets the limitation period, making the debt recoverable Bhartiya State Bank VS Bhanjan Singh - Current Civil Cases, ADIVELU VS NARAYANACHARI - Karnataka, Govind Prasad Patel VS Dhani Ram Patel - Madhya Pradesh.
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Moral Obligation and Exceptions - While a moral obligation exists to pay time-barred debts, the law permits enforcement primarily when there is a clear promise or acknowledgment, especially in the form of promissory notes or written agreements H. NARASIMHA RAO VS VENKATARAM R. - Karnataka, Indian Bank VS C. K. Syed Mohammed - Kerala.
Analysis and Conclusion:
A promise to pay a time-barred debt, whether verbal or written, can constitute valid consideration under Indian law, particularly Section 25(3) of the Contract Act. Such promises effectively revive the enforceability of the debt despite the original limitation period having expired. Courts have consistently upheld the validity of these promises, emphasizing that acknowledgment or fresh promises can reset the limitation period, enabling legal recovery. Therefore, creditors can enforce promises to pay time-barred debts, provided there is clear evidence of such a promise or acknowledgment Ibrahim Mallick VS Lalit Mohan Roy - Calcutta, Bhartiya State Bank VS Bhanjan Singh - Current Civil Cases, P C CHERIAN vs KUMARAN VAIDHYAR AND ANOTHER - Kerala, Vimla Pradhan VS United Commercial Bank - Madhya Pradesh, Indian Bank VS C. K. Syed Mohammed - Kerala.
References:
- Ibrahim Mallick VS Lalit Mohan Roy - Calcutta
- Bhartiya State Bank VS Bhanjan Singh - Current Civil Cases
- P C CHERIAN vs KUMARAN VAIDHYAR AND ANOTHER - Kerala
- Vimla Pradhan VS United Commercial Bank - Madhya Pradesh
- Indian Bank VS C. K. Syed Mohammed - Kerala
- H. NARASIMHA RAO VS VENKATARAM R. - Karnataka
- Bhartiya State Bank VS Bhanjan Singh - Chhattisgarh
- ADIVELU VS NARAYANACHARI - Karnataka
- Govind Prasad Patel VS Dhani Ram Patel - Madhya Pradesh
- BISHAMBHAR DAYAL
VS VISHWANATH AGARWAL
- Allahabad
Search Results for "Promise to Pay at Time Barred Debt Consideration"
1923 0 Supreme(Cal) 133 • India - Calcutta
RANKIN, NEWBOULD
Ratio Decidendi: A verbal contract for a new promise to pay a time-barred debt, made with good consideration, is valid and ... Limitation Act - Contract - The court found that a verbal contract for a new promise to pay a time-barred debt, made with good ... Finding of the Court: The court found that the verbal contract for a new promise to pay the t....
• India - Current Civil Cases
GOUTAM BHADURI
of debt — Which creditor might have enforced but for law of limitation and suit can lie on written promise to pay — Barred debt ... , which the creditor might have enforced but for the law of limitation and a suit can lie on a written promise to pay the barred ... The reason for this provision is that the debt is not extinguished only the remedy gets barred by passage of time and this provision
2014 Supreme(Online)(KER) 38046 • India - High Court of Kerala
K.ABRAHAM MATHEW, J
Ratio Decidendi: The court established that a written promise to pay a time-barred debt constitutes valid consideration under ... Promissory Note - Recovery of Debt - Contract Act Section 25(3) - The court held that a promise to pay a time-barred debt is a ... Issues: Whether the appellant can recover amounts related to a time-barred #HL_STAR....
1989 0 Supreme(MP) 188 • India - Madhya Pradesh
GULAB C.GUPTA
pay past time barred debt -- is a valid consideration. ... [Para 3 ... (4) Contract Act, 1872 -- Ss. 25 and 2(d) -- promise to ... Promise to pay past debt, even when the same had become time barred, is accepted as good consideration under section 25 of the Contract Act. ... In this view of the matter, the promise to pay the past deb....
1997 0 Supreme(Ker) 404 • India - Kerala
D.SREEDEVI
, as a time-barred debt is considered good consideration for a fresh promise to pay. ... consideration to support a promise to pay. ... Consideration - Demand Promissory Note - The court held that a time-barred debt is a good consideration for a fresh contract, ... But under S.25(3) of the Contract Act, a barred debt....
2006 0 Supreme(Kar) 768 • India - Karnataka
K.BHAKTHAVATSALA
time barred debt- No fresh consideration is required for debtor s promise to pay time barred debt -There is moral obligation on ... by debtor to pay time barred debt- Since accused has not paid cheque amounts inspite of demand made by complainant accused has committed ... barred debt would constitute an offence. ... As on 12-....
2014 0 Supreme(Chh) 221 • India - Chhattisgarh
GOUTAM BHADURI
time barred debt was executed and suit was filed for recovery - Therefore, according to considered opinion of this Court, suit was ... within limitation and accordingly could not have been dismissed for reasons as barred by time - As a result, appeal is allowed - ... and decree passed in Civil Suit No.34-A/1999 by Court of Additional District Judge, whereby suit filed by Bank was dismissed as barred ... Therefore, the promise to pay a time#....
2004 0 Supreme(Kar) 699 • India - Karnataka
S.B.MAJAGE
The defendant filed a request to reject the plaint as barred by time, which was dismissed by the trial Court. ... as a 'promise' to pay. ... It emphasized that an acknowledgment coupled with an agreement to pay interest or containing a clear promise to pay could be regarded ... It is a settled law that promise to pay time barred debt is also a valid consideration#HL_END....
2001 0 Supreme(MP) 451 • India - Madhya Pradesh
S.P.KHARE
Limitation Act, 1963 -- S. 18 -- Contract Act, 1872 -- S. 25(3) -~ written promise to pay time-barred debt -- furnishes a fresh cause ... A promise to pay a time-barred debt is enforceable, Time-barred debt is a good consideration for a fresh promise to pay [Bhansarlal v. Navalkishor (1957 JLJ 954 = AIR 1958 ....
1984 0 Supreme(All) 19 • India - Allahabad
B.D.AGARWAL
OF OUTSTANDING DEBT - APPLICATION OF SECTION 25(3) OF THE CONTRACT ACT - EXPRESS PROMISE TO PAY TIME-BARRED DEBT - ENTITLEMENT TO ... Whether the promissory note dated September 18, 1965, constituted an express promise to pay the time-barred debt, satisfying the ... An express promise to pay a time-barred debt#HL_END....
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