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    Question

    Which of the following does NOT constitute a valid

    acknowledgment under Section 18 of the Limitation Act, 1963? 
    A A written letter signed by the debtor admitting liability before the limitation period expires Correct Answer Incorrect Answer
    B An acknowledgment signed by an agent duly authorized to act on behalf of the debtor Correct Answer Incorrect Answer
    C An oral admission of liability made before a witness, even if later confirmed in writing after the limitation period expires Correct Answer Incorrect Answer
    D An acknowledgment "in writing" and "signed" by the liable party or authorized agent Correct Answer Incorrect Answer
    E An acknowledgment coupled with a refusal to pay, if it admits the underlying liability Correct Answer Incorrect Answer

    Solution

    Section 18 requires acknowledgment to be "in writing" and "signed" by the liable party or authorized agent, made before the expiration of the prescribed limitation period. Oral admissions, even if later confirmed in writing, do not qualify because the written confirmation comes after the limitation period has expired, defeating the purpose of extending limitation through acknowledgment. The Explanation to Section 18 clarifies that acknowledgment need not specify the exact nature of property, promise to pay, or be free of conditions, but the writing itself must exist and be signed before expiry. The key principle is that acknowledgment must occur before the original limitation period expires to create a fresh period of limitation.

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