Arbitration – Legal remedy cannot be extended by consent

Extramarks Education India Private Limited Vs Ram School (Delhi High Court)

The petitioner’s other objection, that since in its reply dated 31.08.2021 the respondent themselves were willing to accept and had given their consent for appointment of an arbitrator “near to the locality” where the respondents were located, is neither here nor there, since if the court finds that the payments made are ex-facie time-barred, limitation for invoking a legal remedy cannot be extended even by consent. Conceptually, limitation bars a legal remedy and not a legal right, the legal policy being to ensure that legal remedies are not available endlessly but only up-to a certain point in time. Needless to add however, that if the respondents are conceding the petitioner’s claim itself, and are ready and willing to pay-up, such payment would not be illegal and there could not be any legal impediment in doing so. A party may concede a claim at any time; but cannot concede availability of a legal remedy beyond the prescribed period of limitation.

20. As a sequitur to the above discussion, this court is of the opinion that the petitioner’s claim against the respondent is ex-facie time barred and is accordingly ‘deadwood’; and does not require to be referred to arbitration.