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Supreme Court of India

M/s Sonali Power Equipments Pvt. Ltd. v. Chairman, Maharashtra State Electricity Board, Mumbai & Ors.

Neutral citation
Reported as [2025] 7 S.C.R. 1144
Bench Pamidighantam Sri Narasimha and Joymalya Bagchi JJ.
Decided 17 July 2025

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

What the Court ordered

We hold that a claim coming before the Commission cannot be entertained or allowed if it is barred by limitation 1180 [2025] 7 S.C.R. Supreme Court Reports prescribed for an ordinary suit before the civil court.

Judgment, page 36

From the headnote

Issue for Consideration (i) Whether the Limitation Act applies to conciliation proceedings u/s.18 of the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act), and even if not, whether time-barred debts can be referred to conciliation; (ii) Whether the Limitation Act applies to arbitration proceedings u/s.18 of the MSMED Act, and whether time-barred debts can be referred to arbitration. Further, what is the effect of disclosure of the unpaid amount in the buyer’s financial statements as mandated u/s.22 on extending the limitation period. Headnotes† Micro, Small and Medium

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