Section 19 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 19 gives a fresh period of limitation when a payment on account of a debt, or of interest on a legacy, is made before the prescribed period expires by the person liable or his duly authorised agent. The proviso adds a writing requirement, and the Explanation deals with a mortgagee in possession and with what "debt" means.
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.
A payment on account of a debt (or of interest on a legacy) made before the prescribed period expires, by the person liable or his duly authorised agent, gives a fresh period of limitation from the time the payment was made. The proviso requires an acknowledgment of the payment in the handwriting of, or in a writing signed by, the person making it. "Debt" does not include money payable under a decree or order of a court.
The main rule
Section 19 reads: "Where payment on account of a debt or of interest on a legacy is made before the expiration of the prescribed period by the person liable to pay the debt or legacy or by his agent duly authorised in this behalf, a fresh period of limitation shall be computed from the time when the payment was made".
The elements:
| Element | What the text requires |
|---|---|
| What is paid | A payment on account of a debt or of interest on a legacy |
| When | Before the expiration of the prescribed period |
| By whom | The person liable to pay the debt or legacy, or his agent duly authorised in this behalf |
| Effect | A fresh period of limitation computed from the time the payment was made |
"On account of" signals that the payment need not clear the whole debt; a part payment towards it is within the wording. The section does not say a payment must be of any particular amount.
An illustration with invented names: Hindustan Packaging has a claim against Lakshmi Retail for the price of goods, with a three-year period. In the third year, Lakshmi Retail pays Rs 50,000 on account of the debt on 12 March 2026, and acknowledges the payment in its own signed writing. A fresh period of limitation is computed from 12 March 2026, with section 12(1) excluding that first day.
If you have received part payments from a debtor, keep the written acknowledgments with the ledger. A recovery notice can then be prepared with those dates in view.
The proviso: written acknowledgment of the payment
The proviso reads: "Provided that, save in the case of payment of interest made before the 1st day of January, 1928, an acknowledgment of the payment appears in the handwriting of, or in a writing signed by, the person making the payment."
So, other than for interest paid before 1 January 1928, the fresh period requires that an acknowledgment of the payment appears:
- in the handwriting of the person making the payment, or
- in a writing signed by the person making the payment.
The date in the proviso is part of the print. A reader dealing with a modern debt will in practice meet the main part of the proviso, the written acknowledgment. The print is not brought up to date, so check the current law for the position on older payments.
A payment alone, with nothing in the payer's handwriting or signed writing, does not meet the proviso on its words, because the text asks for an acknowledgment of the payment in the payer's handwriting or signed writing. The Act does not list what qualifies beyond the proviso itself.
The Explanation
Clause (a): mortgaged land in the mortgagee's possession
Where mortgaged land is in the possession of the mortgagee, the receipt of the rent or produce of that land shall be deemed to be a payment. The section does not give details of how this operates beyond that deeming provision.
Clause (b): "debt"
"Debt" does not include money payable under a decree or order of a court. So a payment towards an amount that is payable under a decree or order does not get a fresh period under section 19 as a "debt". The text is specific that decree and order money is outside the word.
How section 19 differs from section 18
| Point | Section 18 | Section 19 |
|---|---|---|
| Trigger | An acknowledgment of liability | A payment on account of a debt or interest on a legacy |
| Form | In writing, signed | Payment, plus an acknowledgment of the payment in handwriting or signed writing (proviso) |
| By whom | The party against whom the claim lies, or a person through whom he derives title or liability; signing by an authorised agent | The person liable or his duly authorised agent |
| Timing | Before the period expires | Before the period expires |
| Fresh period from | The time the acknowledgment was signed | The time the payment was made |
Both sections give "a fresh period of limitation". Read section 18 alongside this one, and read section 20 for who may acknowledge or pay for another.
What section 19 does not cover
- A payment made after the prescribed period has expired is outside the words "before the expiration of the prescribed period".
- A payment by a stranger who is neither the person liable nor his duly authorised agent is outside the section.
- Money payable under a decree or order is outside "debt".
- Section 19 speaks only of a debt or of interest on a legacy; it makes no reference to any other kind of claim.
Section 20(2) says that nothing in sections 18 and 19 renders one of several joint contractors, partners, executors or mortgagees chargeable by reason only of a payment made by any other or others of them. That rule matters where a debt is owed by several people.
Special laws
Section 29(2) lets a special or local law fix its own period and applies sections 4 to 24 to it only so far as that law does not expressly exclude them. Never apply a Schedule period to a tax, insolvency, company, arbitration, consumer, MSME or cheque dishonour proceeding; check the special law and whether it excludes section 19. For the MSME setting, see our guide on recovering delayed payments under MSME Samadhaan, which deals with that scheme separately.
For a creditor's view of a debt that has gone stale, see what is bad debt.
Need help with a debt where part payments were made?
Part payments and their written acknowledgments can change the last date for a claim. Before sending a demand, you can ask us to read your ledger, receipts and dates through a recovery notice discussion.
Key takeaways
- Section 19 gives a fresh period from the time a payment on account of a debt or of interest on a legacy was made.
- The payment must be made before the prescribed period expires, by the person liable or his duly authorised agent.
- The proviso requires an acknowledgment of the payment in the handwriting of, or in a writing signed by, the payer, except for interest paid before 1 January 1928.
- Receipt of rent or produce by a mortgagee in possession is deemed a payment.
- "Debt" excludes money payable under a decree or order of a court.
- A special or local law may fix a different period (section 29(2)).
Read next
- Section 18: acknowledgment of liability in writing and fresh period of limitation
- Section 20: acknowledgment or payment by guardian, agent, partner or family manager
- Section 22: continuing breach and continuing tort
- What is bad debt? Meaning, example and uses
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.