Section 12 IT Act: Acknowledgment of receipt
Information Technology Act, 2000
Section 12 IT Act at a Glance
Section 12 IT Act governs how an addressee can acknowledge receiving an electronic record and when an originator can treat an unacknowledged electronic record as never sent.
Section 12 IT Act Bare Act Text
12. Acknowledgment of receipt.
(1) Where the originator has not stipulated that the acknowledgment of receipt of electronic record be given in a particular form or by a particular method, an acknowledgment may be given byโ
(a) any communication by the addressee, automated or otherwise; or
(b) any conduct of the addressee, sufficient to indicate to the originator that the electronic record has been received.
(2) Where the originator has stipulated that the electronic record shall be binding only on receipt of an acknowledgment of such electronic record by him, then unless acknowledgment has been so received, the electronic record shall he deemed to have been never sent by the originator.
(3) Where the originator has not stipulated that the electronic record shall be binding only on receipt of such acknowledgment, and the acknowledgment has not been received by the originator within the time specified or agreed or, if no time has been specified or agreed to within a reasonable time, then the originator may give notice to the addressee stating that no acknowledgment has been received by him and specifying a reasonable time by which the acknowledgement must be received by him and if no acknowledgment is received within the aforesaid time limit he may after giving notice to the addressee, treat the electronic record as though it has never been sent.
Amendments to this section
- Subs. by s. 10, ibid., for "agreed with the addressee" (w.e.f. 27-10-2009).
Section 12 IT Act in Simple Words
Section 12 IT Act sets out how an addressee may acknowledge receipt of an electronic record and when an unacknowledged electronic record is treated as never sent. Section 2 IT Act defines the Act's terms, including "electronic record", while Section 11 IT Act deals with attribution of electronic records and Section 13 IT Act covers the time and place of despatch and receipt. Under Section 12(1) IT Act, where the originator has not stipulated (set as a required condition) that the acknowledgment of receipt must be in a particular form or by a particular method, the addressee may give an acknowledgment in two ways: under clause (a), by any communication from the addressee, automated or otherwise, or under clause (b), by any conduct of the addressee sufficient to indicate to the originator that the electronic record has been received.
Section 12(2) IT Act covers the case where the originator has stipulated that the electronic record is binding only on receipt of an acknowledgment by the originator. Until that acknowledgment is received, the electronic record is deemed (treated by law) to have never been sent by the originator.
Section 12(3) IT Act applies where the originator has not made the electronic record binding only on receipt of an acknowledgment, and the originator does not receive an acknowledgment within the time specified or agreed, or within a reasonable time if no time was specified or agreed to. In that situation, the originator may give notice to the addressee stating that no acknowledgment has been received and specifying a reasonable time by which the acknowledgment must reach the originator. If no acknowledgment is received within that time limit, the originator may, after giving a further notice to the addressee, treat the electronic record as though it has never been sent.
When Section 12 IT Act Applies
- Open acknowledgment rule under Section 12(1) IT Act: where the originator has not stipulated a particular form or method, acknowledgment may be given by any automated or other communication from the addressee, or by conduct of the addressee sufficient to indicate receipt.
- Conditional binding rule under Section 12(2) IT Act: where the originator has stipulated that the electronic record is binding only on receipt of acknowledgment, the record is deemed never sent until acknowledgment is received.
- First notice under Section 12(3) IT Act: where no conditional binding stipulation was made and no acknowledgment arrives within the specified, agreed, or reasonable time, the originator may notify the addressee that no acknowledgment was received and set a reasonable time limit for acknowledgment.
- Second notice and consequence under Section 12(3) IT Act: if acknowledgment still does not arrive within that specified time limit, the originator may, after giving notice to the addressee, treat the electronic record as never sent.
Example of Section 12 IT Act
When Section 12 IT Act Does Not Apply
- Section 12(1) IT Act does not allow acknowledgment through any communication or conduct where the originator has stipulated a particular form or a particular method for giving the acknowledgment.
- Section 12(2) IT Act does not automatically deem an unacknowledged electronic record as never sent where the originator has not stipulated that the electronic record is binding only on receipt of an acknowledgment.
- Section 12(3) IT Act does not allow the originator to treat an unacknowledged electronic record as never sent unless the specified, agreed, or reasonable time has expired, the originator has first given notice setting a reasonable time for acknowledgment, that time limit has passed without acknowledgment, and the originator gives notice to the addressee.
FAQs on Section 12 IT Act
What is Section 12 IT Act?โผ
Section 12 IT Act governs how an addressee can acknowledge receiving an electronic record and what happens when no acknowledgment reaches the originator. Depending on what the originator stipulated, an unacknowledged electronic record is either automatically deemed never sent under Section 12(2) IT Act or can be treated as never sent after the two notices under Section 12(3) IT Act.
Can an automated reply count as an acknowledgment of receipt under Section 12 IT Act?โผ
Yes. Under Section 12(1)(a) IT Act, any communication by the addressee, automated or otherwise, counts as an acknowledgment of receipt when the originator has not stipulated a particular form or method.
Can the addressee's conduct alone acknowledge receipt under Section 12(1) IT Act?โผ
Yes. Under Section 12(1)(b) IT Act, where the originator has not stipulated a particular form or method for acknowledgment, any conduct of the addressee sufficient to indicate to the originator that the electronic record was received serves as an acknowledgment.
Is an unacknowledged electronic record automatically treated as never sent in every case under Section 12 IT Act?โผ
No. Automatic deeming as never sent applies under Section 12(2) IT Act only when the originator stipulated that the electronic record is binding only on receipt of an acknowledgment. Without that stipulation, the originator must follow the notice procedure in Section 12(3) IT Act before treating the electronic record as never sent.
How many notices must an originator give under Section 12(3) IT Act before treating an electronic record as never sent?โผ
Two notices. First, after the specified, agreed, or reasonable time passes without acknowledgment, the originator gives notice stating that no acknowledgment was received and setting a reasonable time limit. Second, if no acknowledgment arrives within that limit, the originator gives notice to the addressee before treating the electronic record as never sent.
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Sources: Bare Act Text, Information Technology Act, 2000 ยท