Commencement of Time

Time Limits to Commence

The Statute of Limitations provides for time limits for the commencement of legal proceedings.  The purpose is to ensure that claimants make their claim within a reasonable time and that defendants do not have to defend a claim, long after the facts and events have occurred. Different time limits apply to different claims.

The claim periods generally cease to run once legal proceedings are issued.  There are slight differences in the rules for the various courts.  Once proceedings are issued they must be served within a certain time.  In the Circuit Court and High Court, the summons / civil bill must issue within the limitation period. Once the summons / civil bill has issued, it must be served within a period within 12 months. In the District Court, the claim form issues simultaneously with service.

There are certain overriding rules whereby the courts may at their discretion, refuse a claim where there has been unjustified, inordinate and inexcusable delay, such that it would be highly unjust for the defendant to be expected to defend it.

Personal Injury

A claim for personal injury is one where the loss or damage consists or arises from bodily injury. It must be commenced within two years of the date of when the initial injury occurs, or such later date, on which the claimant had the relevant knowledge or means of knowledge that of the claim.

The “date of knowledge” is when the person had knowledge

• that the injury had occurred;
• that it was significant;
• that it was due to an act or omission which is alleged to be negligent;
• the identity of the defendant or another party responsible.

A person will be deemed to have knowledge of that which he might reasonably have been expected to have had the knowledge, from facts which are observable and ascertainable and facts which could have been discovered by medical or other appropriate expert advice which is reasonable to seek.  It does not matter that the person did not know that the facts constituted negligence, nuisance or a breach of duty at law.  Knowledge of the actual events is what matters.

Where a person has been killed as a result of negligence or breach of duty, his dependents may take legal action against that person at fault for the financial loss incurred.  Their claim must be brought with within 2 years of death or the date of knowledge on the part of the person for whose benefit, the action is brought.

Other Civil Claims

The time limit for most civil claims apart from those for personal injuries arising from negligence and breach of duty is six years from the date of the relevant event. In these cases, the period runs from the time when the tort is committed, irrespective of knowledge.  Examples of such claims include

• a claim for personal injury  based on assault and battery, i.e. physical, direct physical interference
• trespass to land,
• damage to business reputation;
• damages arising from negligence, not causing personal injury (e.g. pure economic/financial loss or damage to property).

A claim arising from a defective product must be brought within 3 years of the date of the sale or the damage, or if later, when the claimant became aware or should reasonably have become aware of the damage, the defect and the producer.  However, the claim must be brought within 10 years of their product being put into circulation.

Claims based on breach of contract must be commenced within six years of the breach.  There is no provision for the extension of the limitation period on the basis of the claimant’s state of knowledge. Unlike with negligence, the right to take action commences when the contract is breached, irrespective of when the loss, damage or injury arises.

In the case of a claim based on negligence, the right to commence action arises. when there has been actual loss or damage. Damage is a necessary element of a claim in negligence.  The practical effect can be significant.  There can be a breach of contract which does not cause loss or damage for many years.

The claim for breach of contract must be made within 6 years of the breach.  The “concurrent” claim for negligence, which may arise on the same facts, runs from the date on which damage or loss (commonly pure economic loss) occurs.

Debts / Contracts

Debts are almost invariably based on a contract and are for a fixed or ascertainable sum.  The time limit is six years for the breach of contract. This occurs when the debt falls due and is unpaid. In many cases, the sum must be formally demanded, before it falls due. Whether this is so, depends on the terms of the relevant contract.

The time limit starts again if the debtor acknowledges the debt or makes part payment.  The acknowledgement must be in writing signed by the debtor or an agent of his. It must be made to the creditor. Similarly, the part payment must be made to the creditor or to his agent authorised to accept payment.

Property

In the case where a third party squats on land, or is otherwise in possession adverse to the claimant’s title,  legal action must commence within 12 years of the dispossession or the date on which the possessor took adverse possession.  Otherwise, it will be too late for the claimant to take legal action to recover. The claimant’s right to take action will be statute barred and the title will be lost.

Claims Outstanding on Death

Where a person dies and he had a right to take a claim outstanding at that date of his death, their claim must be brought within the normal time limit or within 2 years of the date of death, whichever is shorter.  The special limitation period is 2 years from the date of death or the normal limitations period, whichever is shorter.

This time limit cannot be extended by discretion or by the operation  of factors which usually suspend the running of most other limitation periods under the Statute of Limitations.

If for example, a loan is in default and had been demanded (where required) before death, the right to take the claim existed before death and the two year period applies.  If on the other hand, their right to take a claim did not arise until after death e.g. a loan was being serviced up to date of death then that period is six years from the date that the loan fell due (usually on demand after the due date).

The fact that a mistake has been made is not generally enough to allow the extension of a limitation period. There is a discoverability rule for personal injury claims, but not otherwise.

Some Exceptions

There is a quite narrow statutory exception where a claim itself seeks relief on the basis of a mistake which has legal effect (e.g. a very fundamental mistake which negates a contract), the time limit for commencement of legal proceedings runs from the date on this the mistake is discovered.

There is a further exception whereby the limitations period can be extended, which applies where a claim is based on the fraud of the defendant or is concealed by his fraud.  In this case, the limitations period runs from when the fraud is discovered or could have reasonably been discovered.

The claim must have been deliberately concealed. Active steps must have been taken to conceal the wrongdoing or breach of contract.  An example of concealment may be where a solicitor fails to inform a client,  of the failure to commence legal action, where he had been instructed to do so.

A person who is under a so-called disability usually obtains an extended limitations period, in which to commence legal action.  Persons under 18 years’ old and persons of unsound mind are deemed to be under a disability.  The limitations period for them generally commences when the person concerned ceases to be under the disability (e.g. reaches 18 years old, or gains / regains the capacity to manage his/her affair). A person is “of unsound mind” if he is shown to be incapable of managing his affairs.

In a personal injury case, a letter must be sent to the alleged person at fault, specifying their fault within 2 months of the date of the event or as soon as practicable after that.  Failure to do so could result in the claimant being penalised in relation to costs.

In the case of a claim for negligence and breach of duty which has caused personal injury, the claim must be brought within 2 years from the date of which that person ceases to be under a disability. Most classes of personal injuries or fatal injury claims must be referred to the Injuries  Board for assessment board, before litigation may commence. The limitation period stops when their claim has been acknowledged as received by the Board. It recommences 6 months after the issue of an authorisation by the Board to take the claim.