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Rent - limitation periods |
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What are the limitation periods for claiming rent from a defaulting T? In practice, Ls are unlikely to allow rent to be unpaid for a long period of time, and a more relevant issue will be the length of the limitation period for enforcing any judgment obtained against that defaulting T.
The starting point is s8 Limitation Act 1980 which says that actions on a deed cannot be brought after 12 years. But, that is subject to s19 which says there is a six-year period ‘to recover arrears of rent’.
As far as judgment debts are concerned, s24(1) says that no ‘action’ can be brought upon a judgment after the expiration of six years from the date on which the judgment became enforceable. But, the important point is that the word ‘action’ in s24(1) does not include proceedings to execute a judgment debt. Accordingly, a third-party debt order may be applied for more than six years after the date of judgment, as can a winding up order. Likewise, it has been held that enforcement steps in relation to a charging order are outside the 1980 Act (Yorkshire Bank [2008]).
Note, however, r2 of RSC Order 46 (which has survived into the CPR) says a ‘writ of execution to enforce a judgment or order may not be issued without the permission of the court’ if six years or more have elapsed since the date of the judgment or order. So, there is a judicial discretion after six years.
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April 2009 |