BACK TO IT ACT
IT Act 2000
Section 12
Acknowledgment of Receipt
THE STATUTE
Original Text
(1) Where the originator has not agreed with the addressee that the acknowledgment of receipt of electronic record be given in a particular form or by a particular method, an acknowledgment may be given by — (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 from the addressee, then unless acknowledgment has been so received, the electronic record shall be treated as though it has never been sent. (3) Where the originator has not stipulated that the electronic record shall be binding only on receipt of acknowledgment, and the acknowledgment has not been received by the originator within the time specified or agreed upon or, if no time has been specified or agreed upon, within a reasonable time, the originator — (a) may give notice to the addressee specifying that no acknowledgment has been received and stating a reasonable time by which the acknowledgment must be received; and (b) if no acknowledgment is received within the time specified in notice given under clause (a) above, may, after giving notice to the addressee, treat the electronic record as though it has never been sent.
Simplified
Section 12 governs the acknowledgment of receipt of electronic records and its legal consequences for the originator-addressee relationship. It operates on a three-tier structure. First, where no acknowledgment format is stipulated, any communication or conduct indicating receipt is sufficient — this includes automated read-receipts, delivery confirmations, or any response that implies the message arrived. Second, and most importantly for contract drafting: if the originator has stipulated that their electronic record is only binding upon acknowledgment, non-receipt of acknowledgment means the record is treated as never sent. This is powerful for e-commerce: an offer sent electronically that requires acknowledgment never forms a contract if the acknowledgment is lost. Third, where acknowledgment has not been stipulated as a condition but acknowledgment is expected and not received within a reasonable time, the originator must follow a two-step process — first, give notice specifying a deadline; then, only after that deadline passes without acknowledgment, may the originator treat the record as never sent. Section 12 is particularly relevant for: automated order confirmation systems (Section 11's automated attribution + Section 12's acknowledgment rules together define when an e-commerce order is confirmed), email contracting disputes, and legal notice delivery by electronic means.
Common Queries
Under Section 12, if you stipulated that the record is only binding upon acknowledgment, and you don't receive it, the record is treated as though it was never sent.
Yes, unless you have specifically agreed on a different form of acknowledgment, any communication or conduct by the addressee (including automated ones) is sufficient.
Legal Evolution
Section 12 is based on Article 14 of the UNCITRAL Model Law on Electronic Commerce 1996. It was included in the original IT Act 2000 to provide legal certainty for electronic contracting. The provision has become more practically significant with the proliferation of email-based legal notices and e-commerce order flows.
Key Amendments
Unchanged since the original IT Act 2000.
Based on Article 14 of the UNCITRAL Model Law on Electronic Commerce 1996.