Limitation of Actions Consultation - Law Commission

proposed wide-ranging Act, we think this approach inappropriate in that
defendants could suddenly find themselves deprived of an accrued limitation
defence.
14.35 The preferable approach would appear to be to follow the example of the
Limitation Act 1939, the Limitation Act 1980 and the Latent Damage Act 1986: 43
the new Act would apply to causes of action arising before its commencement
except where the cause of action had been barred by the expiry of a limitation
period imposed by a previous Act, or where proceedings had been commenced in
respect of that cause of action prior to commencement. This, though slightly
more complex than the first alternative, would allow for the more rapid
implementation of the new Act’s provisions. One should recognise, however, that
where the limitation period would be reduced under our proposals, 44
the effect
would be to deprive plaintiffs of an existing right to bring an action.
14.36 Our provisional view is that the proposed new Act would apply to causes of
action accruing before it commences, except where the cause of action has
been barred by the expiry of a limitation period under the provisions of a
previous Act or proceedings have been instituted in respect of a cause of
action before the commencement of the Act. 45
Consultees are asked if they
agree.
43 See para 9.39 above.
44 Eg actions for breach of contract, conversion, breach of trust, actions on a statute or
judgment, and possibly actions to recover land.
45 The Law Reform Advisory Committee for Northern Ireland has suggested that legislative
action should be taken to overturn the decision in Arnold v Central Electricity Generating
Board [1988] AC 228 (See its Fourth Annual Report (1992 - 93), p 11 and Discussion
Paper on Actions Arising out of Insidious Diseases (July 1992)). However, we believe that
it is of very limited effect, as it only affects causes of action arising before 1954, and we do
not recommend overruling it by legislation. See para 9.38, n 107, above.
397