Civil Lit SGS 1

Question 1

Explain how limitation periods ‘accrue’ in contract and tort.

Answer 1

s. 5 LA 1980 - Contract - accrues from date breach occurs
s. 2 LA 1980 - Tort - accrues from date of actionable damage to claimant - in prof neg cases this would be when claimant acts, to their detriment, upon negligent advice given by defendant.

Question 2

When would tortious accrual occur in a property transaction where prop purchased on reliance of negligent advice?

Answer 2

The actionable damage accrues at the date of completion!!!

Question 3

Why do you need to ensure you diarise the limitation periods?

Answer 3

Once limitation periods expire actions will be barred.

It may also be material to deciding what cause of action you want to bring. e.g. Does tort give longer?