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Limitation of Actions Consultation - Law Commission

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1980 and cannot be reformed without primary legislation. Secondly, we are aware<br />

that difficulties have been, and continue to be, caused by section 35 and the<br />

accompanying Rules <strong>of</strong> Court.<br />

9.29 Where a “new claim” is made in an existing action, section 35 provides that it is<br />

deemed to be a separate action, and to have commenced, in the case <strong>of</strong> third party<br />

proceedings, 74<br />

on the date those proceedings were commenced, and in the case <strong>of</strong><br />

any other claim on the date the proceedings were commenced in the original<br />

action 75<br />

(the ‘relation-back’ principle). A new claim is defined as any claim by way<br />

<strong>of</strong> set-<strong>of</strong>f or counterclaim, and any claim involving the addition or substitution <strong>of</strong> a<br />

new cause <strong>of</strong> action or party. 76<br />

By section 35(3), however, new claims which have<br />

been related back in this way (other than an original set-<strong>of</strong>f or an original<br />

counterclaim by a party who has not previously made any claim in the action) will<br />

not be permitted after the expiry <strong>of</strong> a time limit under the 1980 Act which would<br />

affect a new action to enforce the claim, unless rules <strong>of</strong> court permit, or unless<br />

section 33 77<br />

applies. Mandatory conditions are set out, which must be satisfied if a<br />

new claim is to be permitted under rules <strong>of</strong> court. 78<br />

Where the claim involves a<br />

new cause <strong>of</strong> action, the cause <strong>of</strong> action must arise out <strong>of</strong> substantially the same<br />

facts which are already in issue on any claim in the original action. 79<br />

Where the<br />

claim involves the addition or substitution <strong>of</strong> a new party, that addition or<br />

substitution must be necessary for the determination <strong>of</strong> the original action. 80<br />

It<br />

will not be regarded as necessary unless the new party is substituted for a party<br />

whose name was originally included by mistake for the new party’s name, or if a<br />

claim made in the original action cannot be maintained by or against an existing<br />

party unless the new party is joined or substituted as plaintiff or defendant in the<br />

action. 81<br />

9.30 The provisions <strong>of</strong> section 35 have been accompanied by the Rules <strong>of</strong> the Supreme<br />

Court, Order 15, rule 6, 82<br />

and Order 20, rule 5 83<br />

(which also apply in county court<br />

74 Defined in s 35(2) as “any proceedings brought in the course <strong>of</strong> any action by any party to<br />

the action against a person not previously a party to the action, other than proceedings<br />

brought by joining any such party to any claim already made in the original action by the<br />

party bringing the proceedings”<br />

75 Section 35(1).<br />

76 Section 35(2).<br />

77 Which gives the court discretion to disapply the limitation period in personal injury cases:<br />

see paras 3.66 - 3.76 above.<br />

78 Section 35(4).<br />

79 Section 35(5)(a).<br />

80 Section 35(5)(b).<br />

81 Section 35(6).<br />

82 Rule 6(5) No person shall be added or substituted as a party after the expiry <strong>of</strong> any<br />

relevant period <strong>of</strong> limitation unless either -<br />

(a) the relevant period was current at the date when proceedings were commenced and<br />

it is necessary for the determination <strong>of</strong> the action that the new party should be<br />

added, or substituted, or<br />

(b) the relevant period arises under the provisions <strong>of</strong> s 11 or 12 <strong>of</strong> the <strong>Limitation</strong> Act<br />

1980 and the Court directs that those provisions should not apply to the action by or<br />

against the new party.<br />

172

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