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

A Central Act states that a notice 'shall be served by post' on the person. Meera Pvt. Ltd. disputes receipt. The notice was properly addressed, prepaid and sent by registered post. Under Section 27 of the General Clauses Act, 1897, what is the legal position?

Service is deemed effected at the time the letter would be delivered in the ordinary course of post, unless the contrary is proved. Under Section 27, proper addressing, prepayment and registered posting create this presumption, so acknowledgement by the company is not required.

  1. AService is deemed effected at the time the letter would be delivered in the ordinary course of post, unless the contrary is provedCorrect
  2. BService is effected only when the company acknowledges receipt
  3. CService is effected on the date of posting regardless of delivery time
  4. DService is not valid unless sent by speed post and courier together

Explanation

Section 27 says that where service by post is authorised, service is deemed effected by properly addressing, prepaying and posting the letter by registered post. Unless the contrary is proved, it is presumed effected when the letter would arrive in the ordinary course of post. Option C ignores this presumption of delivery time.

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