This queries the server for what time it is locally to the server. If you provide a server name, it asks that server for the time. If you provide a nickname, it asks the server that nickname is using for the time.
Some servers restrict your ability to remotely query other servers. You should not depend on getting a reply to this request.
The DATE command is equivalent to TIME.
To get the local time of JoeBob's server:
To get the local time of server irc.foobar.com: