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Smith owes Roy ₹10,000. Roy could have enforced the debt but for the limitation bar. Smith signs a…

Section 25(3) makes a qualifying written and signed promise to pay all or part of a debt barred by limitation a contract without fresh consideration. The statute imposes no…

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Smith owes Roy ₹10,000. Roy could have enforced the debt but for the limitation bar. Smith signs a written promise to pay the debt within five months. What is the legal effect under section 25(3) of the Indian Contract Act, 1872?

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Answer and explanation

Correct answer C

Section 25(3) makes a qualifying written and signed promise to pay all or part of a debt barred by limitation a contract without fresh consideration. The statute imposes no registration requirement for this exception.

Option feedback

Option A

The debt, amount and period are specified.

Option B

Section 25(3) makes the qualifying promise a contract. The limitation bar on the old debt does not confer a right to revoke it.

Option C

A promise in writing signed by the person to be charged can be enforced under the statutory exception.

Option D

Registration is a requirement of the natural love and affection exception, rather than the limitation-barred debt exception.

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