Arbitration matter
sree 9491505984
(Querist) 02 November 2013
This query is : Resolved
Hi Experts,
in an arbitration tribunal we have filed a claim which is in limitation period. Respondent filed a counter claim to it. we found that for that counterclaim limitation period of 3 years was over by the day of filing of counterclaim. Can we take that plea or not? Respondent argues that as the counterclaim is part of main claim and the main claim is within limitation period. Hence his contention for counterclaim is maintainable though it crossed limitation period of 3 years. Is it true in the eye of law ? or any scope for me to face him.. Please answer me...
ajay sethi
(Expert) 02 November 2013
In the case of M/s. International Building & Furnishing Company (Cal) Private Limited Vs. Indian Oil Corporation Limited; 84 (2000) DLT 483 the Court held as under:
"13. As already mentioned above, under Section 3 of the Limitation Act, any claim by way of a set off or a counter claim has to be treated as a separate suit and will be deemed to have been instituted, in the case of a counter claim on the date on which a counter claim was made in Court. It is, Therefore, clear that the counter claim is treated as a suit. A suit if filed on the date when a counter claim was made, as in the present case, will be clearly barred by time
ajay sethi
(Expert) 02 November 2013
In the case of Satya Prakash Gupta & Anr. Vs. Vikas Gupta & Ors, passed in R.F.A. (OS) No.23/2010 dated 24.11.2011 by Division Bench of this Court, the Bench in para 13 held as under :
I.A. No.15982/2010 in CS(OS) No.1874/2009 Page 14 of 15 "13. Rules of Limitation are meant to see that parties do not resort to dilatory tactics but to seek their remedy promptly. It is a policy of Limitation Acts that those who sleep upon their claims should not be assisted by the courts and equal policy behind those acts, in that there shall be an end of litigation and protection shall be offered against stale demands. It is well settled that question of limitation can be raised at any time in the course of proceedings. Court can dismiss the suit on the ground of limitation even if the defence has not raised that plea, where on the face of the pleadings, the court comes to the conclusion that the suit is barred by limitation."
ajay sethi
(Expert) 02 November 2013
Order VIII, rules 6A to 6G may not prescribe any period of limitation for filing of a counter-claim, but in view of Order 8, rule A (4), read with Order VII, Rule 11(d) and S. 3(2) (b) of the Limitation Act, it can be said that there is a time limit for filing a counter-claim and the time limit is what is prescribed by the law of limitation in relation to that particular counter-claim. If it appears from the statements made in the application wherein the counter-claim is set up that it is barred by the law of limitation, the counter claim would be liable to rejection
Rajendra K Goyal
(Expert) 03 November 2013
Well advised by the expert, nothing more to add.
Devajyoti Barman
(Expert) 03 November 2013
counter claim is surely time barred.
Apply for rejection of plaint.
