Section 11 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 11 deals with a suit filed in India on a contract made outside the territories to which the Act extends. The Indian rules of limitation apply to that suit. A time bar from the foreign place becomes a defence only if two conditions are both met.
This article follows the consolidated text of the Act consulted (latest amendment shown: Act 46 of 1999). Later amendments should be checked before you rely on it.
Under section 11(1), suits instituted in the territories to which the Act extends on contracts made in a foreign country (and, as printed, in the State of Jammu and Kashmir) are subject to the rules of limitation in this Act. Under section 11(2), a foreign rule of limitation is a defence only if (a) it has extinguished the contract and (b) the parties were domiciled in that country during the period the rule prescribes.
What section 11 is about
The heading of section 11 is "Suits on contracts entered into outside the territories to which the Act extends". A dispute can arise where a contract is made abroad but the suit is filed in India, for example because the defendant has assets or a place of business here. Section 11 says which rules of limitation govern in that case.
The Act defines "foreign country" in section 2(g) as any country other than India. See sections 1 and 2 for the definitions.
If you are considering a suit in India on a contract made abroad, a commercial suit filing consultation can help you check the dates against the Schedule and this section.
Section 11(1): Indian rules apply
Section 11(1) reads: "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."
The rule is simple. If the suit is filed in the territories to which the Act extends, the limitation rules of this Act apply, whether the contract was made in a foreign country or in the place the section names.
A note on the Jammu and Kashmir words
The section names "the State of Jammu and Kashmir" as printed, and section 1(2) as printed excludes that State from the Act's extent. The print does not bring these words up to date with later changes in the law, so a reader should check the current law for the corresponding position on territory. This article quotes the words and goes no further.
Section 11(2): when a foreign rule can be a defence
Section 11(2) reads: "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 on 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."
The print has "on in a foreign country" where the sense calls for "or in a foreign country". It looks like a typing slip. The text is quoted as printed.
The structure of the sub-section is a general ban with one exception:
| Step | What the text says |
|---|---|
| General rule | No rule of limitation in force in that State or in a foreign country is a defence to a suit instituted in the territories to which the Act extends |
| Exception, condition (a) | The rule has extinguished the contract |
| Exception, condition (b) | The parties were domiciled in that State or foreign country during the period prescribed by the rule |
| Joining word | "and": both conditions must be met |
Both conditions must be satisfied. A foreign rule that only bars the remedy, without extinguishing the contract, does not satisfy condition (a) on the words of the sub-section. The text does not say how to decide whether a given foreign rule extinguishes a contract; that depends on the foreign rule itself, which this Act does not set out.
Worked illustration
Take invented parties. Harbor Textiles, a company in a foreign country, supplies goods under a contract made there to Dinesh Garments, which has a place of business in India. Harbor Textiles sues Dinesh Garments in an Indian court.
- Under section 11(1), the Indian limitation rules apply to that suit. The Schedule Article that fits the claim, together with sections 4 to 24, will decide whether it is in time.
- If Dinesh Garments says the foreign country's own limitation rule has run out, section 11(2) allows that as a defence only if the foreign rule extinguished the contract, and both parties were domiciled in the foreign country throughout the period that rule prescribes.
- If the parties were not both domiciled there during that period, condition (b) fails and the foreign rule is not a defence, whatever it says.
The text uses the word "domiciled" and does not define it. This article does not supply a definition.
How section 11 fits with the rest of the Act
Section 11 sits among the provisions in Part II that begin with the bar in section 3. Section 3 applies "subject to the provisions contained in sections 4 to 24". Because section 11 is within that range, it is one of the provisions that shape how the bar operates. See sections 3 and 4.
Time spent in a proceeding in a foreign court is not dealt with in section 11. Section 14 speaks of civil proceedings in "a court", and this article does not say whether a foreign court is within it. For the text of that section, read section 14. Section 15(5) separately excludes time during which the defendant has been absent from India and from the territories outside India under the administration of the Central Government; see section 15.
Special laws
Section 29(2) provides that where a special or local law prescribes its own period, that period applies and sections 4 to 24 apply only so far as that law does not expressly exclude them. A proceeding under arbitration, insolvency, company, consumer, MSME or tax law carries its own periods, so never apply a Schedule period to one. For the rules on commercial disputes in India, see our post on the meaning of commercial dispute under the Commercial Courts Act, 2015.
Need help with a cross-border dues claim?
A claim on a contract made abroad raises questions of where the contract was made, where the parties were domiciled and which Schedule Article applies. We can go through your papers and dates with you when you ask for commercial suit filing support.
Key takeaways
- Section 11(1): a suit in the territories to which the Act extends, on a contract made in a foreign country, is subject to the limitation rules of this Act.
- Section 11(2): a foreign rule of limitation is a defence only if it has extinguished the contract and the parties were domiciled in that country during the period it prescribes.
- Both conditions in section 11(2) must be met.
- The print names the State of Jammu and Kashmir as printed; check the current law for the corresponding position.
- A printing slip reads "on in a foreign country" in section 11(2).
- A special or local law may fix a different period (section 29(2)).
Read next
- Sections 1–2: short title, extent, commencement and definitions
- Section 12–13: exclusion of the day of judgment, copy time and pauper application
- Section 15: exclusion of time of stay, notice, sanction and the defendant's absence from India
- Meaning of commercial dispute under the Commercial Courts Act, 2015
Disclaimer: Based on a consolidated text of the Limitation Act, 1963 and its Schedule whose latest amendment shown is Act 46 of 1999, as consulted on 2 October 2026. A special or local law may fix a different period; later amendments and the current procedural law should be checked. This article is general information, not legal advice; check the official text before acting.