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Beware the statute of limitations

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This week former Australian cricketer Stuart MacGill issued a Writ out of the Supreme Court claiming in excess of $2.6M from Cricket Australia.  The basis for the claim is essentially that a debt is owed by Cricket Australia to Mr MacGill due to injury payments.

Whilst there may be a number of reasons for the timing of the issuing of the claim, one major one may be the expiration of the statute of limitations.

The claim appears to have arisen in 2009.  A debt may be statute barred and proceedings unable to be issued once 6 years from the date the claim arose expires.

The Limitations of Actions Act 1958 (Vic) impose a time limit on claims.  If a claim is issued outside this time limit it is a complete defence to the claim.

The reason that the law imposes this time limit is to ensure the timely prosecution of claims.  The more time that elapses the higher the likelihood that evidence will be lost and witnesses’ memories fail.  It is also a matter of fairness to bring a claim within a reasonable time.

It is therefore imperative to obtain sound legal advice to ensure your rights are protected and claims issued within the statute of limitation.

For further information about claims and their limitations, please contact our Dispute Resolution & Litigation team by email litigation@mst.com.au or by telephone +61 8540 0200.