Wednesday, October 18, 2023

When Notice Is Returned As ‘Unclaimed’, It Must Be Deemed Proper Service; 'Unclaimed' Same As 'Refusal': Supreme Court

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The Supreme Court recently held that when notice is returned as ‘unclaimed’, it shall be deemed to be served on the addressee and considered proper service. The Apex Court also clarified that the word ‘refusal’ can be interpreted as synonymous to the word ‘unclaimed’.

Notice issued to the respondent had returned with the remarks ‘unclaimed’. The Registry in its office report had mentioned that when the notice is returned as ‘refusal’, it constitutes complete/proper service, but when it is returned as ‘unclaimed’, is considered incomplete service.

The Court relied on the decisions in K.Bhaskaran Vs. Sankaran Vaidhyan Balan and Another, (1999) 7 SCC 510 and Ajeet Seeds Limited Vs. K. Gopala Krishnaiah (2014)12 SCC 685 (2014) to observe that when notice is returned as ‘unclaimed’, it must be deemed to be proper service on the addressee.

“…The word ‘refusal’ can be interpreted as synonymous to the word “unclaimed”. As held by the Hon’ble Supreme Court in the above decisions, when a notice is served to the proper address of the addressee, it shall be deemed to be served unless the contrary is proved. Thus, when the notice is returned as unclaimed, it shall be deemed to be served and it is proper service. Therefore, service of notice to the sole respondent which has returned as unclaimed is considered as deemed to be served but none has entered appearance”, the Court held.

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