Limitation Act, 1963
Sections 11 and 12 of the Limitation Act, 1963: Contracts Outside India and Exclusion of Time
Section 11 deals with suits founded on contracts entered into outside the territories to which the Limitation Act extends. Section 12 explains which days or periods are excluded while computing limitation for specified suits, appeals and applications.
Section 11: Suits on contracts entered into outside the territories to which the Act extends
The heading of Section 11 is "Suits on contracts entered into outside the territories to which the Act extends." The provision determines how limitation is treated when a suit is instituted in territories governed by the Limitation Act but the relevant contract was entered into in Jammu and Kashmir or in a foreign country.
Section 11(1). Suits instituted in the territories to which this Act extends on contracts entered into in the State of Jammu and Kashmir or in a foreign country shall be subject to the rules of limitation contained in this Act.
Section 11(2). No rule of limitation in force in the State of Jammu and Kashmir or in a foreign country shall be a defence to a suit instituted in the said territories on a contract entered into in that State or in a foreign country unless:
(a) the rule has extinguished the contract; and
(b) the parties were domiciled in that State or in the foreign country during the period prescribed by such rule.
Meaning and effect of Section 11
In practical terms, Section 11 starts with the rule that a suit instituted within the territories to which the Act extends is governed by the limitation rules contained in the Limitation Act, even where the contract was entered into in the place specified by the section. A foreign limitation rule does not ordinarily operate as a defence merely because the contract was made abroad.
The exception under Section 11(2) requires both statutory conditions to be satisfied: the relevant rule must have extinguished the contract, and the parties must have been domiciled in the relevant State or foreign country during the prescribed period. The provision should therefore be read according to its exact statutory conditions rather than as a general rule that every foreign limitation period automatically governs an Indian suit.
Section 12: Exclusion of time in legal proceedings
Section 12 forms part of the provisions dealing with computation of the period of limitation. It identifies time that is left out of the calculation in specified proceedings.
Section 12(1). In computing the period of limitation for any suit, appeal or application, the day from which such period is to be reckoned shall be excluded.
Section 12(2). In computing the period of limitation for an appeal or an application for leave to appeal or for revision or for review of a judgment, the day on which the judgment complained of was pronounced and the time requisite for obtaining a copy of the decree, sentence or order appealed from or sought to be revised or reviewed shall be excluded.
Section 12(3). Where a decree or order is appealed from or sought to be revised or reviewed, or where an application is made for leave to appeal from a decree or order, the time requisite for obtaining a copy of the judgment shall also be excluded.
Section 12(4). In computing the period of limitation for an application to set aside an award, the time requisite for obtaining a copy of the award shall be excluded.
Explanation. In computing under this section the time requisite for obtaining a copy of a decree or an order, any time taken by the court to prepare the decree or order before an application for a copy thereof is made shall not be excluded.
How Section 12 works
- The starting day is excluded when limitation is computed for a suit, appeal or application.
- For the proceedings specified in Section 12(2), the date of pronouncement and the time requisite for obtaining the relevant copy are excluded.
- Where Section 12(3) applies, the time requisite for obtaining a copy of the judgment is also excluded.
- For an application to set aside an award, the time requisite for obtaining a copy of the award is excluded under Section 12(4).
- The Explanation limits what counts as "time requisite": court preparation time before an application for a copy is made is not excluded.
Important statutory update to Section 12(3)
The present text of Section 12(3) excludes the time requisite for obtaining a copy of the judgment. The former words referring to the judgment "on which the decree or order is founded" were omitted by the Code of Civil Procedure (Amendment) Act, 1999 with effect from 1 July 2002. Older reproductions containing those omitted words should not be treated as the current text.
Official text and legal reference
For the authoritative Central Act text and subsequent legislative updates, refer to the Limitation Act, 1963 on India Code. The Act is Act No. 36 of 1963 and came into force on 1 January 1964.
Related provisions
Sections 11 and 12 should be read with the surrounding provisions where relevant. Section 11 follows provisions concerning suits against trustees and their representatives, while Section 12 begins the group of provisions governing computation and exclusion of time. The next provisions include Sections 13 and 14 and Sections 15 and 16.
Last reviewed: 3 October 2026. This page is a general legal information resource and should be read with the current statutory text and applicable judicial decisions.