Question

According to Section 17 of the Limitation Act, 1963, in which circumstance will the limitation period NOT begin to run?

Q: Answer-According to Section 17 of the Limitation Act, 1963, in which circumstance will the limitation perio...

Section 17 provides that limitation shall not begin to run if a the suit is based upon fraud of the defendant or respondent b knowledge of the right is concealed by fraud c the suit is for relief from consequences of a mistake or d a document necessary to establish the right has been fraudulently concealed, until the plaintiff has discovered the fraud or mistake with reasonable diligence. Importantly, not every mistake or misunderstanding qualifies only fraud dishonesty or intentional deception by the defendant or agent and serious mistakes rise to this level. In P. Radha Bai v. P. Ashok Kumar 2018, the court held that Section 17 applies only where fraud or mistake prevents knowledge of facts necessary to file the case.

A When a defendant refuses to pay a contractual obligation

B When a plaintiff simply makes an arithmetic error in calculating damages

C When the knowledge of the right or title on which the suit is founded is concealed by the fraud of the defendant or respondent, or when the suit is based upon fraud of the defendant, or for relief from consequences of mistake, and the plaintiff has not discovered the fraud or mistake with reasonable diligence

D When a contract contains ambiguous terms

E When the plaintiff delays filing due to financial constraints

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