Jurisprudence, Interpretation and General Laws · Law relating to Limitation

Limitation Act, 1963: Introduction and Bar of Limitation (Section 3)

Updated 11 October 2026 · Fact-checked

The Limitation Act, 1963 fixes the time within which you must file a suit, appeal or application. Under Section 3, any suit, appeal or application made after the prescribed period must be dismissed, even if the defendant never raised limitation. To solve questions, find the period, the date of institution, then apply Sections 4 to 24.

Understand Introduction and Bars of Limitation (Sections 1-3)

The law of limitation sets a time limit for going to court. The idea is captured in the maxim interest reipublicae ut sit finis litium: it is in the public interest that litigation should end. A second idea is that the law helps the vigilant, not those who sleep over their rights. Old claims are hard to prove, as evidence is lost and witnesses forget.

The Act is called the Limitation Act, 1963 (Section 1). It extends to the whole of India. The words "except the State of Jammu and Kashmir" were omitted by Act 34 of 2019 with effect from 31 October 2019. It came into force on the date the Central Government appointed by notification. That date was 1 January 1964.

Section 2 gives key definitions. Period of limitation means the period prescribed for any suit, appeal or application by the Schedule. Prescribed period means the period of limitation computed in accordance with the Act. So the Schedule gives the raw period, and the Act's rules on exclusion and extension give the computed period. Also note that "suit" does not include an appeal or an application, and "application" includes a petition. "Bill of exchange" includes a hundi and a cheque. "Good faith" means nothing is in good faith unless done with due care and attention.

Section 3(1) is the heart of the topic. Subject to Sections 4 to 24, every suit instituted, appeal preferred and application made after the prescribed period shall be dismissed, although limitation has not been set up as a defence. The court must therefore check limitation on its own. The defendant need not plead it.

Section 3(2) tells you when a suit is instituted. In an ordinary case, it is when the plaint is presented to the proper officer. For a pauper, it is when the application for leave to sue as a pauper is made. For a claim against a company being wound up by the court, it is when the claimant first sends the claim to the official liquidator. A set off is treated as a separate suit instituted on the date of the suit in which it is pleaded. A counter claim is instituted on the date it is made in court. A notice of motion in a High Court is made when it is presented to the proper officer.

Key rules to remember

Object of limitation: Interest reipublicae ut sit finis litium; It is in the public interest that litigation must come to an end.
Bar of limitation (Section 3(1)): Suit, appeal or application after the prescribed period → dismissed; Subject to Sections 4 to 24. Dismissal follows even if limitation is not set up as a defence.
Period of limitation (Section 2(j)): Period of limitation = period prescribed by the Schedule; This is the raw period listed in the Schedule.
Prescribed period (Section 2(j)): Prescribed period = period of limitation computed under the Act; It is after applying the exclusions and extensions in the Act.
Institution of suit: ordinary case: Date of presenting the plaint to the proper officer; Section 3(2)(a)(i).
Institution of suit: pauper: Date of application for leave to sue as a pauper; Section 3(2)(a)(ii).
Institution of claim against company in winding up by court: Date the claimant first sends the claim to the official liquidator; Section 3(2)(a)(iii).
Set off and counter claim: Set off: date of the main suit. Counter claim: date it is made in court; Each is treated as a separate suit. Section 3(2)(b).

How to solve Introduction and Bars of Limitation (Sections 1-3) questions

Use this method for any question on the introduction or Section 3. Write the provision first, then the facts, then the conclusion.

1Identify what is being filed: a suit, appeal or application. Remember that a suit does not include an appeal or an application.
2Find the period of limitation from the Schedule, as given in the question.
3Fix the date from which time runs, as given in the question.
4Fix the date of institution using Section 3(2): plaint presented, pauper application, claim to the official liquidator, set off, counter claim or notice of motion.
5Check whether any of Sections 4 to 24 helps, such as closed court (Section 4), extension for appeals and applications (Section 5) or legal disability (Section 6).
6Compare the date of institution with the last day of the prescribed period.
7If it is late and no section saves it, conclude that the court must dismiss it under Section 3(1), even if the defendant did not plead limitation.

Quickest way: Three-line check for a time-barred claim

When to use it: Use it for short problems where you only need to say whether the claim survives.

Write: Under Section 3(1), a suit, appeal or application after the prescribed period is dismissed, even if limitation is not pleaded.
Write the date of institution under Section 3(2) and compare it with the last day.
Add any saving under Sections 4 to 24 and conclude: within time or barred.

Common mistakes in Introduction and Bars of Limitation (Sections 1-3)

Saying the court dismisses only if the defendant raises limitation.
Students assume limitation is like other defences that must be pleaded.
Fix: Quote Section 3(1): dismissal follows although limitation has not been set up as a defence.
Counting the date of institution as the date the plaint was drafted or posted.
Students ignore the wording of Section 3(2).
Fix: Use the date the plaint is presented to the proper officer. For a pauper, use the date of the application for leave.
Mixing up period of limitation and prescribed period.
Both terms sound alike.
Fix: Period of limitation is the Schedule period. Prescribed period is that period computed under the Act.
Treating a counter claim like a set off for the date of institution.
Both are treated as separate suits.
Fix: A set off dates from the main suit. A counter claim dates from the day it is made in court.
Forgetting that Section 3 is subject to Sections 4 to 24.
Students stop at the bar and ignore the savings.
Fix: Always check exclusions and extensions before you conclude that the claim is barred.
Stating that the Act excludes Jammu and Kashmir.
Older books carry the old wording.
Fix: Say it extends to the whole of India. The exclusion was omitted with effect from 31 October 2019.

Worked examples

Example 1

Ravi filed a suit in a civil court after the prescribed period had expired. The defendant, Mehta Traders, did not raise limitation in its written statement. Can the court dismiss the suit?

Show the solution

Provision: Section 3(1) says every suit instituted after the prescribed period shall be dismissed, although limitation has not been set up as a defence.
Facts: the suit was filed after the prescribed period, and the defendant did not plead limitation.
Analysis: the bar operates by law. The court must check limitation by itself, so the silence of the defendant does not save the suit.
Check savings: nothing in the facts brings in Sections 4 to 24.

Answer: Yes. The court must dismiss the suit under Section 3(1), even though Mehta Traders did not plead limitation.

Example 2

A creditor, Sunita, sends her claim to the official liquidator of a company being wound up by the High Court on 10 March. She also files a suit against another debtor, Kiran, by presenting the plaint to the proper officer on 15 March. State the date of institution in each case.

Show the solution

Provision: Section 3(2)(a) fixes the date of institution of a suit.
Claim against the company: it is a claim against a company being wound up by the court. Under Section 3(2)(a)(iii), it is instituted when the claimant first sends in the claim to the official liquidator.
Date for the company claim: 10 March.
Suit against Kiran: this is an ordinary case. Under Section 3(2)(a)(i), it is instituted when the plaint is presented to the proper officer.
Date for Kiran's suit: 15 March.

Answer: The claim against the company is instituted on 10 March. The suit against Kiran is instituted on 15 March.

Exam tips

Start every answer with the maxim interest reipublicae ut sit finis litium and its meaning when the question asks about the object.
Quote Section 3(1) closely, including the phrase "although limitation has not been set up as a defence".
Learn the three cases of institution in Section 3(2)(a) and the separate rules for set off and counter claim.
Write the two Section 2(j) definitions side by side so the difference is clear.
Close each problem with a clear conclusion: within time, or dismissed under Section 3.

Practice questions from Law relating to Limitation

Introduction and Bars of Limitation (Sections 1-3): frequently asked questions

What is the object of the law of limitation?

It ensures that disputes are brought to court within a fixed time and do not stay open forever. The maxim interest reipublicae ut sit finis litium expresses this. It also prevents claims where evidence has been lost over time.

Must the defendant plead limitation for the court to dismiss a late suit?

No. Section 3(1) says a suit, appeal or application after the prescribed period shall be dismissed although limitation has not been set up as a defence. The court examines it on its own.

What is the difference between period of limitation and prescribed period?

Under Section 2(j), period of limitation is the period the Schedule gives for a suit, appeal or application. Prescribed period is that period computed in accordance with the Act, after exclusions and extensions.

When is a suit instituted under the Limitation Act?

In an ordinary case, when the plaint is presented to the proper officer. For a pauper, it is when the application for leave to sue is made. For a claim against a company being wound up by the court, it is when the claim is first sent to the official liquidator.

Does the Limitation Act, 1963 apply to the whole of India?

Yes. Section 1(2) says it extends to the whole of India. The earlier exception for Jammu and Kashmir was omitted by Act 34 of 2019 with effect from 31 October 2019.