Limitation Act 1980

Limitation periods enforce time limits within which a party must bring a claim, or give notice of a claim to the other party[1]. They are enacted by statute, predominantly the Limitation Act 1980 (LA)[2].

It was ratified due to widespread opinion that it was contrary to public policy for persons to be continuously exposed to litigation for wrongful acts[3]. When substantial time had passed following a wrongful act certain matters may become subject to change such as witnesses’ recollections fading, documentary evidence available to properly judge the case unlikely to be available or in certain cases even exist[4]. These factors could avoid proper justice being served[5].

There are various limitation periods for different types of actions and if limitation has passed, the claim will be bound by statute and the claimant may be prohibited from bringing a claim against the purported wrongdoer[6]. If a claim is brought out of time, the defendant will be able to plead limitation as a defence and the claimant will have the burden of proving that the cause of action arose within the relevant statutory timeframe[7].

Time starts from different dates conditional upon the cause of action, see below. The commencement of proceedings (i.e. when the claim form is received at Court) stops time running for that cause of action[8]. As a result, when disputing parties are in settlement negotiations and the limitation expiry date is near, the claimant will commence proceedings which are then put on hold to allow discussions to continue which protects the claimant’s right to sue[9]. Whilst such protective proceedings can be revised later with the court’s consent, such permission will not encompass a new cause of action to be included in the proceedings[10].The LA consists of three parts; Part 1 enacts periods of limitation, Part 2 deals with the extension of these periods whilst Part 3 contains general provisions[11]. The key provisions on time limits in the LA are set out in Appendix 1.

The aim of the LA was to consolidate the Acts of limitation from 1939 to 1980[12]. This was due to, as Dov Ohrenstein states, ‘a flurry of legislation since 1939 has attempted to remove some of the harshness of the original legislation and, combined with developments in the law of negligence, has added complexity to the original relatively simple rules’[13].

The LA broadened the Limitation Act 1939 i.e. it was extended from 34 to 41 sections and was intended to bring the law up to date with demographic changes in society. Some of the relevant changes the LA made to the law are highlighted below:

• Sections 11 and 14: It provided greater clarity in relation to the ‘discoverability test’ for personal injury claims with the inclusion of the ‘date of knowledge’[14] which is defined at section 14(1)[15].

• Sections 28 and 38: This section changed the approach to limitation rules in a case where the Claimant is under a disability[16]. It provided the Court with jurisdiction to extend the normal limitation rules where the claimant was under a disability at the point when the cause of action accrued[17]. Section 38 outlines the circumstances in which a person is deemed to be under a disability i.e. if they are an infant or of unsound mind[18].
• Section 33: This section provided the Court with further powers to ‘disapply’ the normal time-limits on actions in respect of personal injury and death[19].
• Section 35: This related to any new claim made in the course of any action[20]. Its effect was to extend the categories of cases in which new claims, by way of set-off or counterclaim, can be brought after the expiry of the limitation period[21]. However, section 35(4) and 35(5) provide that such new claims are subject to certain conditions[22].

The Act has been subject to a number of proposed reforms since its enactment years and many consider it to be unnecessarily complicated[23]. In a report in 2001, the Law Commission felt the LA suffered from a number of problems[24]. They argue that the LA ‘makes different provision in respect of different causes of action. It is not always clear which category a cause of action falls into, and thus how it should be treated for limitation purposes’[25]. Instead, the Law Commission recommended that there be a universal regime which consists of a primary limitation period of three years starting from the date of the Claimant’s knowledge or assumed knowledge, followed by a long-stop limitation of ten years, starting from the date of accrual of the cause of action or from the date of the act/omission[26]. Whilst the proposals have not yet been actioned, it appears to be a question ‘when’ rather than ‘if’.

Limitation Act 1980 – Key Provisions

• Section 2, 14A and 14B – Claims for negligence(other than personal injury or death) must be made within six years of the negligent act/omission[57]. The period runs from the date the damage is suffered[58]. Where the claim involves physical damage, the limitation period runs from the date of the damage, not the act which causes damage[59].
• Section 2 – Tort claims(generally, including conversion and trespass) must be made within six years of the date the cause of action accrued[60].
• Section 11 – Claims for personal injury or death must be made within three years of accrual of the negligent act/omission or knowledge[61].
• Sections 2 and 32 – Claims for fraud must be made within six years of the date the cause of action accrued. Time does not begin until the fraud has, or with reasonable diligence would have been, exposed, if the defendant purposely covers any fact relevant to the cause of action[62].
• Section 4A – Claims of libel, slander and malicious falsehood must be made within one year of the cause of action accruing. A fresh cause of action accumulates every time the claimant is slandered[63].
• Section 5 – Contract claims must be brought within six years of the date of breach. The cause of action occurs as soon as the contract is broken. By contrast, in tort, no cause of action arises until all components of duty, breach and damage are present. Unlike tort, the limitation period cannot be prolonged on latent damage grounds[64].
• Section 8 – This relates to contract under seal/deeds where a claim must be made within 12 years of the breach of contract or deed[65].
• Sections 15, 17 and 20 – A claim for the recovery of land, proceeds of sale of land or money secured by a mortgage or charge must be made within 12 years of the right accruing and after that time, the title of the person stops[66].
• Section 19 – A claim for arrears of rent must be made within six years of the date the rent became due[67].
• Section 21(3) – An action for non-fraudulent breach of trust should be made within six years of the date on which the right of action accrued[68].
• Section 22 – An action claiming personal estate of a deceased person must be brought within 12 years of the date the right to receive the share or interest accrued[69].
• Section 10 – An action for a contribution must be made within two years of the right accruing. A contribution here refers to a defendant’s entitlement to claim against another party with whom he may be jointly liable for the claimant’s loss[70].
• Section 24 – To enforce a judgment it must be brought within six years of the date upon which the judgment became enforceable[71].

2026 update

The Limitation Act 1980 remains the principal statute governing limitation periods in England and Wales and continues to provide the core framework for time limits in civil claims. However, this area has been shaped by later amendments and case law, and some older descriptions of the Act now need modernisation. In particular, references to disability should now be read in light of the current wording of section 38, which refers to a person lacking capacity within the meaning of the Mental Capacity Act 2005. In addition, although the Law Commission has previously proposed wider reform of limitation law, no general replacement of the Limitation Act 1980 regime has been implemented, so the Act remains the main operative framework.

Bibliography

Legislation

• Limitation Act 1980

Online Books/Articles/Websites

• Blackfriars Group Insurance Official Website, ‘The Limitation Act 1980’ < https://www.blackfriarsgroup.com/limitation-act-1980/> Last Accessed: 21/02/2016
• Dov Ohrenstein, ‘Limitation Periods:- What’s the limit’ <http://radcliffechambers.com/wp-content/uploads/2010/02/Limitation_seminar_-_Dov_Ohrenstein.pdf> Last Accessed: 27/02/2016
• In Brief Official Website, ‘What is meant by limitation periods under UK law and when will this come into play?’ < http://www.inbrief.co.uk/claim-preparations/civil-claim-limitation-periods.htm> Last Accessed: 21/02/2016.
• Law Commission, ‘Limitation of Actions’, Law Com No 270 < http://www.lawcom.gov.uk/wp-content/uploads/2015/03/lc270_Limitation_of_Actions.pdf> Last Accessed: 27/02/2016
• Money Claims UK Official Website, ‘What is the Limitation Act?’ < https://www.moneyclaimsuk.co.uk/limitation-act.aspx> Last Accessed: 21/02/2016
• Pinsent Masons Official Website, ‘Advice Note: Limitation’ <http://www.pinsentmasons.com/PDF/Limitation.pdf> Last Accessed: 21/02/2016
• The In-House Lawyer Official Website ‘Clarifying the law on limitation periods’ http://www.inhouselawyer.co.uk/index.php/litigation-a-dispute-resolution/7464-clarifying-the-law-on-limitation-periods Last Accessed: 27/02/2016

Footnotes

[1] Money Claims UK Official Website, ‘What is the Limitation Act?’ < https://www.moneyclaimsuk.co.uk/limitation-act.aspx> Last Accessed: 21/02/2016

[2] Pinsent Masons Official Website, ‘Advice Note: Limitation’ <http://www.pinsentmasons.com/PDF/Limitation.pdf> Last Accessed: 21/02/2016

[3] In Brief Official Website, ‘What is meant by limitation periods under UK law and when will this come into play?’ < http://www.inbrief.co.uk/claim-preparations/civil-claim-limitation-periods.htm> Last Accessed: 21/02/2016.

[4] Pinsent Masons Official Website, ‘Advice Note: Limitation’ <http://www.pinsentmasons.com/PDF/Limitation.pdf> Last Accessed: 21/02/2016

[5] Pinsent Masons Official Website, ‘Advice Note: Limitation’ <http://www.pinsentmasons.com/PDF/Limitation.pdf> Last Accessed: 21/02/2016

[6] Money Claims UK Official Website, ‘What is the Limitation Act?’ < https://www.moneyclaimsuk.co.uk/limitation-act.aspx> Last Accessed: 21/02/2016

[7] Pinsent Masons Official Website, ‘Advice Note: Limitation’ <http://www.pinsentmasons.com/PDF/Limitation.pdf> Last Accessed: 21/02/2016

[8] Blackfriars Group Insurance Official Website, ‘The Limitation Act 1980’ < https://www.blackfriarsgroup.com/limitation-act-1980/> Last Accessed: 21/02/106

[9] Pinsent Masons Official Website, ‘Advice Note: Limitation’ <http://www.pinsentmasons.com/PDF/Limitation.pdf> Last Accessed: 21/02/2016

[10] Pinsent Masons Official Website, ‘Advice Note: Limitation’ <http://www.pinsentmasons.com/PDF/Limitation.pdf> Last Accessed: 21/02/2016

[11] Limitation Act 1980

[12] Dov Ohrenstein, ‘Limitation Periods:- What’s the limit’ <http://radcliffechambers.com/wp-content/uploads/2010/02/Limitation_seminar_-_Dov_Ohrenstein.pdf> Last Accessed: 27/02/2016

[13] Dov Ohrenstein, ‘Limitation Periods:- What’s the limit’ <http://radcliffechambers.com/wp-content/uploads/2010/02/Limitation_seminar_-_Dov_Ohrenstein.pdf> Last Accessed: 27/02/2016

[14] Limitation Act 1980 Section 11

[15] Limitation Act 1980 Section 14

[16] Limitation Act 1980 Section 28

[17] Limitation Act 1980 Section 28

[18] Limitation Act 1980 Section 38

[19] Limitation Act 1980 Section 33

[20] Limitation Act 1980 Section 35

[21] Limitation Act 1980 Section 35

[22] Limitation Act 1980 Section 35

[23] The In-House Lawyer Official Website ‘Clarifying the law on limitation periods’ http://www.inhouselawyer.co.uk/index.php/litigation-a-dispute-resolution/7464-clarifying-the-law-on-limitation-periods Last Accessed: 27/02/2016

[24] Law Commission, ‘Limitation of Actions’, Law Com No 270 < http://www.lawcom.gov.uk/wp-content/uploads/2015/03/lc270_Limitation_of_Actions.pdf> Last Accessed: 27/02/2016

[25] Law Commission, ‘Limitation of Actions’, Law Com No 270 < http://www.lawcom.gov.uk/wp-content/uploads/2015/03/lc270_Limitation_of_Actions.pdf> Last Accessed: 27/02/2016

[26] Law Commission, ‘Limitation of Actions’, Law Com No 270 < http://www.lawcom.gov.uk/wp-content/uploads/2015/03/lc270_Limitation_of_Actions.pdf> Last Accessed: 27/02/2016