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CS Executive · Jurisprudence, Interpretation and General Laws · Law relating to Limitation

Under the Limitation Act, 1963, in the case of a claim against a company which is being wound up by the court, a suit is treated as instituted on which date?

The suit is instituted when the claimant first sends in his claim to the official liquidator. This is the special rule for claims against a company being wound up by the court, replacing the ordinary plaint-presentation rule.

  1. AWhen the claimant first sends in his claim to the official liquidatorCorrect
  2. BWhen the winding-up order is passed by the court
  3. CWhen the plaint is presented to the proper officer
  4. DWhen the liquidator admits the claim

Explanation

Section 3(2)(a)(iii) states that for claims against a company being wound up by the court, the suit is instituted when the claimant first sends in his claim to the official liquidator. The ordinary rule of presenting a plaint applies only to ordinary cases.

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