IBC and Limitation Period: SC clairifies
Last Updated on April 7, 2025 by Shianjany Pradhan
The court observed that the limitation period mentioned in the IBC, 2016 would begin when the court pronounces the judgment.
The court went further and observed that in cases where the order is not pronounced immediately when the hearing concludes, the period would begin the day if it gets announced or is uploaded on the court’s website.
It was held by the bench of Justice A.S Oka Justice Ahsanuddin Amanullah and Justice A.G Masih that the period under section 12(1), for the exclusion of the time, that is the time taken for the certified copy being made available.
The court reiterated the decision in V. Nagarajan v. SKS Ispat and Power that the limitation period does not begin from the day the order is made available to the parties, but the day it is pronounced.
The court also held that the exemption for filing the certified copy is not a matter of right as per rule 22 of the NCLAT Rules, where such a filing has been mandated.
The court went on to say that the provision of the limitation period has to be strictly interpreted, including the condonation of delay, where the same must not be construed liberally.
Case Title:- A Rajendra v. Gonuganta Madhusudhan Rao and others
