Law of limitation
Kvijay12345
(Querist) 08 November 2016
This query is : Resolved
My friend has defaulted in unsecured personal loan repayment since Feb.2009. Till today no recovery suit is filed by the bank. The loan amount is 6,00,000/-.Now the bank has assigned its rights to some third party without informing the borrower.Can the bank or its recovery agency now file the recovery suit in DRT? What is the stipulated time limit from the date of default available for the bank to file the recovery suit against the borrower?Does the law of limitation apply here? Can the recovery agency instead of bank file recovery suit in DRT?
Rajendra K Goyal
(Expert) 08 November 2016
Have you ever given blank revival letter / commitment to pay / deposited any money in the account in last three years?
If not and third party (in whose favor loan was assigned) file case defend yourself with the plea of loan time barred.
Kumar Doab
(Expert) 09 November 2016
You have been advised on limitation.
