Effect of payment of interest as such or of part payment of principal

Effect of payment of interest as such or of part payment of principal.-(1) Where interest on a debt or legacy is, before the expiration of the prescribed period, paid as such by the person liable to pay the debt or legacy, or by his agent duly authorised in this behalf, or where part of the principal of a debt is, before the expiration of the prescribed period, paid by the debtor or by his agent duly authorised in this behalf, a fresh period of limitation shall be computed from the time when the payment was made : Provided that, an acknowledgement of the payment appears in the handwriting of, or in a writing signed by the person making the payment.

1. (2) Effect of receipt of produce of mortgaged land.--Where mortgaged land is in the possession of mortgagee, the receipt of the rent or produce of such land shall be deemed to be a payment for the purpose of sub-section (1). Explanation.-Debt includes money payable under a decree or order of Court.