Case Note & Summary
The dispute arose from a suit for redemption of a mortgage dated 22.5.1886, filed by the appellant, the successor in interest of the mortgagor, on 28.12.1968. The limitation for filing such a suit under the Limitation Act, 1908 was 60 years, expiring on 22.5.1946. The appellant contended that an acknowledgment of the mortgagor's right to redeem was made in a sale deed dated 1.11.1913, which should reset the limitation period. The Trial Court accepted this argument and granted a decree for redemption, but the Additional District Judge and subsequently the High Court reversed this decision, stating that the sale deed did not acknowledge the right of redemption. The Supreme Court, however, found that the recitals in the sale deed did indeed acknowledge the mortgagor's right, thus constituting a valid acknowledgment under Section 19 of the Limitation Act, 1963. The court noted that the suit was filed within the appropriate time frame, as the acknowledgment reset the limitation period. The Supreme Court set aside the High Court's order, restoring the Trial Court's decree for redemption and clarifying that the appeal only concerned the property mortgaged under the deed dated 22.5.1886. The appellant was entitled to costs.
Headnote
A) Limitation Law - Acknowledgment of Liability - Sale Deed as Acknowledgment - Limitation Act, 1963, Section 19 - The recitals in the sale deed acknowledged the mortgagor's right of redemption, thus constituting a fresh starting point for limitation. The court held that the recitals indicated a subsisting liability and relationship between the parties, allowing the suit to be filed within the prescribed time. (Paras 613-615).
Issue of Consideration
Whether the sale deed of 1.11.1913 contained an acknowledgment of a subsisting right of redemption by the mortgagor.
Final Decision
The Supreme Court allowed the appeal, set aside the orders of the Additional District Judge and the High Court, and restored the decree for redemption passed by the Trial Court, holding that the recitals in the sale deed constituted an acknowledgment of the mortgagor's right of redemption.
Law Points
- Limitation period
- acknowledgment of liability
- subsisting right of redemption
- Limitation Act
- 1908
- 1963
