Food Corporation Of India vs Assam State Cooperative Marketing & ...

The Supreme Court addressed the issue of limitation under the Limitation Act, 1963, specifically Section 18, which pertains to acknowledgment of liability. The Court held that the letters dated 29/03/1977 and 30/07/1977 from the Federation constituted an acknowledgment of liability, thereby extending the limitation period for the plaintiff's claim. Consequently, the Court set aside the lower courts' decisions and allowed the plaintiff's appeal, permitting the recovery of the excess amount paid.