To bring a claim in the UK, you must do so within the relevant time limit for that claim.
It is not always straightforward to understand how time limits work in the UK because there are separate limitation periods for different types of civil claims. This is further complicated by the fact that the date from which these periods of time will start can differ depending on the type of claim in question and, in some cases, may even require an assessment of when the claimant acquired the knowledge of their right to bring such a claim.
In this article, we look at what exactly is meant by a statute of limitations and outline how time limits apply to the different types of claims relevant to businesses.
What is a Statute of Limitations?
A statute of limitations sets out the time limits within which a court action must take place. If the time specified in the statute of limitations has passed, a claim can no longer be brought.
The reasoning behind a statute of limitations is to prevent claims from being brought after a lot of time has elapsed. In such circumstances, important evidence may also be lost and witnesses’ memories may fade over time, leading to the defendant possibly not getting a fair trial.
Do We have a Statute of Limitations in the UK?
Unlike countries such as the US, India and Germany, the UK does not have a general statute of limitations for criminal offences (except for minor summary offences that are tried exclusively in the magistrates’ courts). However, there are time limits for many types of civil claims that must be brought, most of which are governed by the Limitation Act 1980.
Limitation Periods for Claims in the UK
Statutory limitation periods are the defined periods of time during which legal action can be brought. Generally, this starts from the date of the cause of action - the first date on which a claim can be submitted and normally the first date on which there is some evidence of wrongdoing. The limitation periods in the Limitation Act 1980 will depend on the type of civil claim involved.
After the limitation period has passed, it will usually not be possible to submit a claim, as it will be considered ‘statute-barred,’ i.e. out of time.
Time Limits for Specific Types of Claims Relevant to Businesses
Breach of Contract including Non-Payment of Debt and Fraud
Breach of contract claims, including standard debt claims, will usually need to be made within six years. However, if the matter concerns a failure to repay a debt that is secured with a mortgage, the time limit may be longer – up to twelve years.
Fraud claims must also be submitted within six years, but this is from when the claimant discovered the fraud or with reasonable diligence, could have become conscious of it.
As a result, it is vital to document the date on which the breach occurred, as well as keeping messages, photographs or copies of any uncompleted work or any other evidence of the breach of contract.
Personal Injury
Any personal injury-related compensation claims must be made within three years of the event.
In relation to claims related to the Consumer Protection Act 1987 - which include situations where a defective product or service causes damage to property, injury or death to a person - the claim must be made within three years of the death or cause of action.
Nevertheless, where the damage becomes apparent much later, the limitation period for personal injury claims can be extended. For example, if an employee who was exposed to a dangerous substance at work many years earlier develops cancer as a result of that exposure, the limitation period only starts when the cancer is diagnosed.
Medical Negligence
Medical negligence claims, where a patient dies because of poor medical treatment, also need to be made within three years of the person’s death.
These types of claims are often brought late because it is the deceased’s dependents who would typically bring the claim and they are often tied up with other matters such as arranging the funeral and sorting out personal affairs. Similarly, it is often difficult for them to obtain evidence and expert testimony.
Claims Relating to Building Construction
Claims relating to the quality of the work in the construction of buildings can be made within 15 years of the fault becoming apparent. Nevertheless, the time limit for breach of contract remains at six years. So, if your builder fails to complete the job, you have six years to claim. However, if they finish the job but it later becomes evident that the workmanship was poor, you might have longer to claim. The reason behind this longer period is that structural problems will likely take longer to appear.
Defamation
Defamation claims have a much shorter limitation period and must be made within a year.
If there is a good reason why this period should be extended, such as the injured party not being aware of the defamation until much later, a judge may decide to extend the time limit. The drawback is that even if the time period is extended, a defendant could contend that the injury couldn’t be so severe if the effect was not immediately noticed.
When Does the Limitation Period Commence?
As a general rule, the limitation period starts to run when the cause of action arises or when an individual becomes or should become aware that they may have a legal claim.
Exceptions to Limitation
There are, however, some exceptions to the usual limitation periods under the Limitation Act 1980:
- Concealment - When important facts relating to the claim may have been concealed from the claimant. In this situation, the limitation period will start to run when the claimant becomes aware of the relevant facts or on the date that they should have become aware of them
- Personal Injury Cases Involving Children - The limitation period here will not start to run until the child reaches the age of eighteen.
- Claims Involving ‘Protected Persons’ - who are individuals who are incapable of managing their property and affairs owing to mental disorder (at the time that the cause of action arises). In such circumstances, the three-year limitation will run from the date that the person ceases to be disabled. Where such a person never regains the capacity to bring proceedings for themselves, for example, in the event of a severe brain injury, they will not be subject to a limitation period.
Limitation Periods Outside of the Reach of the Limitation Act 1980
Personal injury claims following accidents on flights or in the process of embarking/disembarking aeroplanes
These claims are governed by the Montreal Convention 1999, which was incorporated into English Law by the Carriage by Air Act 1961 (as amended by the Carriage by Air Acts (Implementation of the Montreal Convention 1999) Order 2002).
Under the Convention, such claims have to be made within two years from the date of arrival at the destination, or when the aircraft ought to have arrived at the destination. The time limit here is strict and cannot be extended.
Claims arising from international carriage of passengers by seas
These claims are governed by the 1974 Athens Convention, which relates to the carriage of passengers by sea and handles the liability of a carrier to a passenger for death and personal injury, and for loss and damage to luggage. The Convention has been in force in the UK since 1996 via S.183 of the Merchant Shipping Act 1995 but it is important to be aware that it only applies to international cruises, not domestic ones.
Personal injury and loss baggage claims under the Athens Convention have a limitation period of two years – again, shorter than the usual three-year limitation period under English law. As with aircraft-related personal injury claims, it can also not be extended beyond this time.
If you are considering bringing a civil claim, you should have a full understanding of any statutory limitations on your claim. Contact our expert dispute resolution solicitors today at 0300 303 2071 or email us for further advice.
