Limitation Act – Proposed amendment in respect of latent injury and damages

The Attorney General Chamber had recently called for a meeting of the minds in regards a proposal to extend the timeline for bringing an action that involves latent injury or damages arising from negligence, nuisance or breach of duty. This shall include any breach of duty that exist by virtue of a contract or of a provision made by or under any written law or independently of any contract or any such provision. Note the word “latent” and this is not being defined in the proposal.

With this proposal, the timelines as prescribed in the Act shall be extended from the existing 3 or 6 years (whichever applicable) from date on which the cause of action accrued by another 3 years from earliest date on which the plaintiff has the knowledge required for bringing an action.  Note the use of words, “knowledge required” and are being defined in this proposed amendment. This definition somewhow seems to stretch the period into infinity…..but in S24(b), this so-called endless stretching is pegged at 15 years from a “starting date” and again this is defined in the proposal in which I summarised it as “… on which there occurred any act or omission…”.

So are you clear…… with the passing of this proposal, the insurance industry is going to have a mouthful dealing with long tailed claims where there appeared to have something “latent” in nature….. Proposed s24A, B and C of Limitation Act

Related Posts with Thumbnails

Leave a Reply