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Supreme Court Ends The Second Extended Limitation Period

In 2020, the COVID-19 virus severely affected all sectors of the country, including the legal realm. With a massive surge of cases and casualties thereof, it became strenuous for legal practitioners to continue functioning in a conventional capacity. Courts were required to transition to an online medium, which had its own pros and cons but heavily impacted the masses. The legal fraternity was posed with numerous difficulties ranging from being able to acquire the necessary resources to operating them adequately. To ease the burden, the Supreme Court of India, in Suo Moto Writ (Civil) No. 3 of 2020, titled as In Re: Cognizance For Extension Of Limitation,[1] dated March 23rd, 2020, acknowledged the challenges faced by litigants in filing petitions/applications/suits/appeals/all other proceedings and extended the limitation period of all cases pending before the judicial authorities of the country till further orders decided otherwise. The order was effective from 15th March 2020 and was exercised under Article 142 read with Article 141 of the Indian Constitution[2] as per which it was made binding on lower courts and judicial authorities of the country.

Subsequently, with the number of cases having decreased and thereby with the decline of the first wave, the Supreme Court, on 8th March 2021, issued an order as per which the extension came to an end.[3] Additionally, while computing the limitation period of any suit, it held that the duration from 15th March 2020 till 14th March 2021 would stand excluded and the remaining balance of the limitation period as of the former date would begin from 15th March 2021. If the limitation period were to have normally expired between 15th March 2020 and 14th March 2021, then a bandwidth of 90 days would apply from 15th March 2021. However, if the actual limitation period was greater than that of 90 days, then the same would apply from the proposed date.

Much to the country’s surprise, a second wave hit thereafter, and a nationwide lockdown was issued. Similar situations to those of the first wave were faced and the legal industry required another extension. While acknowledging these circumstances, the Supreme Court, in its order M.A. No.665 of 2021 In Re: Cognizance For Extension Of Limitation,[4] dated 27th April 2021, restored its original order from 23rd March 2020 and provided for a further extension of limitation periods of all cases pending within the country. The relevant parts of the order were referred to in a Calcutta High Court case titled SREI Equipment Finance Limited vs. Marg Limited[5] and the extension was provided accordingly.

With the decline of the second wave and normalcy having returned to a certain extent, on 23rd September 2021, the Supreme Court disposed of the extension M.A. No.665 of 2021 and provided the following directions –

-In computing the period of limitation for any suit, appeal, application or proceeding, the period from 15.03.2020 till 02.10.2021 shall stand excluded. Consequently, the balance period of limitation remaining as on 15.03.2021, if any, shall become available with effect from 03.10.2021.

-In cases where the limitation would have expired during the period between 15.03.2020 till 02.10.2021, notwithstanding the actual balance period of limitation remaining, all persons shall have a limitation period of 90 days from 03.10.2021. In the event the actual balance period of limitation remaining, with effect from 03.10.2021, is greater than 90 days, that longer period shall apply.

-The period from 15.03.2020 till 02.10.2021 shall also stand excluded in computing the periods prescribed under Sections 23 (4) and 29A of the Arbitration and Conciliation Act, 1996, Section 12A of the Commercial Courts Act, 2015 and provisos (b) and (c) of Section 138 of the Negotiable Instruments Act, 1881 and any other laws, which prescribe period(s) of limitation for instituting proceedings, outer limits (within which the court or tribunal can condone delay) and termination of proceedings.

The order of disposal seems to be similar to the one passed in March 2021 and states that the extended limitation period has been ended. The Supreme Court provided the above-mentioned instructions for all judicial authorities to follow while computing the period of limitation. The order is applicable to all deadlines related to Patents, Trademarks, Design, and Copyright issues.

While there is uncertainty regarding the occurrence of a third wave in the country, the Supreme Court has proved twice that it will safeguard the interests of the public and litigants thereof by providing them with reasonable deadlines.

[1] In Re: Cognizance for Extension of Limitation, (2020) SCC OnLine SC 343.

[2] India Const. art. 141; India Const. art. 142.

[3] In Re: Cognizance for Extension of Limitation, (2021) 5 SCC 452.

[4] In Re: Cognizance for Extension of Limitation, (2021) SCC OnLine SC 373.

[5] SREI Equipment Finance Limited vs. Marg Limited, IA No. GA/1/2021 in EC/74/2021.

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