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Limitation of Actions Consultation - Law Commission

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10.41 In accordance with the recommendations <strong>of</strong> the <strong>Law</strong> Reform <strong>Commission</strong>, the<br />

1991 Act did not contain a statutory long-stop provision. It remains to be seen,<br />

however, whether the courts will use their inherent jurisdiction to strike out claims<br />

for delay as actively where a long delay between the commencement <strong>of</strong><br />

proceedings and the events to which they relate is due to lack <strong>of</strong> discoverability, as<br />

they do at present where such a delay is due to the plaintiff’s disability. 101<br />

This<br />

jurisdiction has been described by one commentator as “a judicial ‘long stop’,<br />

operating as an important qualification to the discoverability principle.” 102<br />

10.42 Although the Statute <strong>of</strong> <strong>Limitation</strong>s (Amendment) Act 1991 resolved the<br />

uncertainty in relation to personal injuries, there still remained the question <strong>of</strong><br />

whether the lack <strong>of</strong> a discoverability test in the Statute <strong>of</strong> <strong>Limitation</strong>s 1957, in<br />

relation to other causes <strong>of</strong> action, could be attacked on constitutional grounds.<br />

This question was resolved in Tuohy v Courtney, 103<br />

in which the Supreme Court<br />

decisively rejected such a challenge. It was held that Parliament, in legislating on<br />

limitation, was engaged in a balancing <strong>of</strong> constitutional rights and duties, and that<br />

in a challenge to the constitutional validity <strong>of</strong> any statute the role <strong>of</strong> the courts was<br />

not to impose its own view <strong>of</strong> what those rights and duties should be. Therefore,<br />

the limitation period for latent damage other than personal injuries remains based,<br />

as the case may be, on the date <strong>of</strong> the breach <strong>of</strong> contract, or the date on which the<br />

plaintiff suffers damage, regardless <strong>of</strong> discoverability.<br />

(4) <strong>Actions</strong> for Breach <strong>of</strong> Trust<br />

10.43 The main provision <strong>of</strong> the Statute <strong>of</strong> <strong>Limitation</strong>s 1957 dealing with the limitation<br />

period for breaches <strong>of</strong> trust is section 43(1)(a). This provides:<br />

Subject to section 44 <strong>of</strong> this Act, 104<br />

an action to recover money or other<br />

property or in respect <strong>of</strong> any breach <strong>of</strong> trust, not being an action for<br />

which a period <strong>of</strong> limitation is fixed by any other provision <strong>of</strong> this Act,<br />

shall not be brought against a trustee or any other person claiming<br />

through him after the expiration <strong>of</strong> six years from the date on which<br />

the right <strong>of</strong> action accrued.<br />

The definition <strong>of</strong> a trustee in the Statute excludes “a person whose fiduciary<br />

relationship arises merely by construction or implication <strong>of</strong> law and whose<br />

fiduciary relationship is not deemed by any rule <strong>of</strong> law to be that <strong>of</strong> an express<br />

trustee.” 105<br />

This distinction between express trusts, on the one hand, and implied<br />

and constructive trusts on the other, contrasts with the position under English<br />

law. 106<br />

101 See para 10.51 below.<br />

102 B M E McMahon and W Binchy, Irish <strong>Law</strong> <strong>of</strong> Torts (2nd ed 1990), p 831.<br />

103 [1994] 2 ILRM 503.<br />

104 See para 10.44 below.<br />

105 Statute <strong>of</strong> <strong>Limitation</strong>s 1957, s 2(2)(a)(i).<br />

106 See paras 4.8 - 4.13 above.<br />

193

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