9911796707
TMI Blog2009 (4) TMI 439X X X X Extracts X X X X X X X X Extracts X X X X ..... effect incorporates the contents of Annexure-I in the letter dated 7-7-2005. If indeed the Petitioner’s case on merits is well founded and the defence of the company regarding the clubbing of the said thirty two accounts is not accepted, this letter read with Annexure-I thereto would constitute an acknowledgement of liability as the annexure is incorporated therein. The acknowledgement therein would, therefore, be one in writing and signed by the company. In the circumstances, the Company is directed to deposit in this Court a sum of ₹ 3,88,462 on or before 31-7-2009. Upon the amount being deposited, the same shall be invested in a nationalized bank initially for a period of one year and, thereafter, for like periods of one yea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pening balance constitutes "the last item admitted or proved as entered in the account" within the meaning of that expression in Article 1 of the Limitation Act, 1963 is an arguable point. 5. Mr. Sen also submitted that this ledger account was an enclosure to a letter addressed by the company dated 7-7-2005 and, therefore, constituted an acknowledgement of liability within the meaning of section 18 of the Limitation Act. This submission is well founded. In paragraph 4 of the letter, it is stated as follows : "We may point out to you that in the said claim, we have already given credits in respect of the amounts claimed by the complainant in the present complaint as seen from the ledger copy enclosed as Annexure-I." 6. Section 18 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . The question is whether the letter dated 7-7-2005, read with Annexure-I referred to therein and enclosed therewith constitutes an acknowledgement in writing signed by the party i.e., the company, as required by section 18 of the Limitation Act, 1963. 8. When a document incorporates by reference the contents of another document it in effect adopts what is stated therein as its own. Incorporation by reference is often resorted to in the formation of contracts including adopting arbitration clauses contained in the document incorporated. It is quite obvious and only logical that in such cases what the party in effect intended to do and did was to rewrite the contents of the earlier document in the later signed document. Such contents ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d thirty two accounts is not accepted, this letter read with Annexure-I thereto would constitute an acknowledgement of liability as the annexure is incorporated therein. The acknowledgement therein would, therefore, be one in writing and signed by the company. 12. In the circumstances, the following order is passed : ( i )The Company is directed to deposit in this Court a sum of Rs. 3,88,462 on or before 31-7-2009. ( ii )Upon the amount being deposited, the same shall be invested in a nationalized bank initially for a period of one year and, thereafter, for like periods of one year each. ( iii )In the event of the amount being so deposited and in the event of the Petitioner filing a suit within twelve weeks from the date of the P ..... X X X X Extracts X X X X X X X X Extracts X X X X
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