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CA Intermediate · Corporate and Other Laws · The General Clauses Act, 1897

A Central Act says a notice must be served 'by post' on a shareholder, Meena, and is silent on the manner of proof. The company's secretary sends the notice by a properly addressed, prepaid registered post letter. Under the General Clauses Act, 1897, what is the position on service?

Service is deemed effected by properly addressing, prepaying and posting the letter by registered post. Unless the contrary is proved, it is presumed to have been served when the letter would be delivered in the ordinary course of post, so acknowledgement by Meena is not required.

  1. AService is deemed effected only when Meena actually acknowledges receipt
  2. BService is deemed effected by properly addressing, prepaying and posting the letter by registered post, and, unless the contrary is proved, it is presumed to be effected at the time the letter would be delivered in the ordinary course of postCorrect
  3. CService is effected on the date of posting, and no rebuttal is possible
  4. DService by registered post is not valid unless the Act expressly prescribes it

Explanation

The Act says that where a law authorises or requires service by post, service is deemed effected by properly addressing, prepaying and posting the document by registered post. Unless a different intention appears, it is presumed effected when the letter would be delivered in the ordinary course of post. The presumption is rebuttable, so the date-of-posting option is wrong.

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