Loan Default
Statute of Limitations, 1957.
General provisions as to interpretation.
2.—(1) In this Act—
“the Act of 1891” means the Registration of Title Act, 1891;
“action” includes any proceeding (other than a criminal proceeding) in a Court established by law;
“action to recover land” includes—
(a) an action claiming a declaration of title to land,
(b) proceedings by a mortgagee for the delivery of possession of land by a mortgagor,
(c) proceedings under section 13 of the Registration of Title Act, 1942 (No. 26 of 1942), by a person who is registered under the Act of 1891 as the owner of a charge on registered land for possession of the land;
“arbitration”, “arbitration agreement” and “award” have the same meanings as in the Arbitration Act, 1954 (No. 26 of 1954);
“conventional rent” means a rent payable under a lease or other contract of tenancy (whether in writing or not and whether express or implied) and includes the rent payable by a statutory tenant within the meaning of the Rent Restrictions Act, 1946 (No. 4 of 1946), but does not include a fee-farm rent payable under a grant which creates the relationship of landlord and tenant;
“foreshore” means the bed and shore, below the line of high water of ordinary or medium tides, of the sea and of every tidal river and tidal estuary and of every channel, creek, and bay of the sea or of any such river or estuary;
“judgment mortgage” means an affidavit of ownership registered under the Judgment Mortgage (Ireland) Act, 1850;
“land” includes corporeal hereditaments and rentcharges, and an interest in the proceeds of the sale of land held upon trust for sale, but save as aforesaid does not include any incorporeal hereditament;
“mortgage” includes an equitable mortgage and a judgment mortgage and “mortgagor”, “mortgagee” and cognate words shall be construed accordingly;
“the operative date” means the 1st day of January, 1959;
“other limitation enactment” means any enactment (other than this Act) relating to the limitation of actions;
“personal estate” does not include chattels real;
“personal injuries” includes any disease and any impairment of a person’s physical or mental condition;
“personal property” does not include chattels real;
“personal representative” means the executor, original or by representation, or the administrator of a deceased person and includes, in relation to land to which the Land Purchase Acts apply, a person who, under those Acts, is, for the purposes of proceedings under those Acts, appointed to be the administrator of the personal estate of a deceased person or nominated to represent a person dead, absent or under a disability;
“registered land” means land the title to which is registered under the Act of 1891;
“rentcharge” means any annuity or periodic sum of money charged upon or payable out of land, and includes—
(a) any annual or periodic payment to the Irish Land Commission, including an annuity in repayment of an instalment mortgage payable into the Church Temporalities Fund, and
(b) any periodic payment which was immediately before the 6th day of December, 1922, collectable under the Crown Lands Acts, 1829 to 1913, being—
(i) a crown rent, or
(ii) a quit rent, or
(iii) a composition rent, or
(iv) any other rentcharge, and
(c) a fee-farm rent, whether the grant under which it arises does or does not create the relationship of landlord and tenant,
but does not include—
(d) a conventional rent, or
(e) interest on a mortgage or charge on land, or
(f) a terminable annuity payable in respect of a loan under the Housing (Gaeltacht) Acts, 1929 and 1934;
“ship” includes every description of vessel used in navigation not propelled by oars;
“State authority” means any authority being—
(a) a Minister of State, or
(b) the Commissioners of Public Works in Ireland, or
(c) the Irish Land Commission, or
(d) the Revenue Commissioners, or
(e) the Attorney General.
“Trustee.”
(2) (a) In this Act, “trustee” does not include—
(i) a person whose fiduciary relationship arises merely by construction or implication of law and whose fiduciary relationship is not deemed by any rule of law to be that of an express trustee, or
(ii) a personal representative in the capacity of personal representative.
(b) Where—
(i) an interest (in this paragraph referred to as the new interest) in land, which is conveyed to or vested in a purchaser under the Land Purchase Acts, is, under any provision of those Acts or otherwise, a graft or deemed to be a graft on any previous interest in that land or any other land, and
(ii) the new interest is subject to any rights or equities arising from its being such a graft,
then, neither the purchaser nor any person claiming through him shall, by reason only of the matters mentioned in subparagraphs (i) and (ii) of this paragraph, be, in respect of the new interest, a trustee for the purposes of this Act.
(c) Where—
(i) a person is registered under the Act of 1891 as owner of land, and
(ii) the registration is, in pursuance of subsection (3) of section 29 of the Act of 1891, made subject to the rights or equities referred to in that subsection,
then, neither that person nor any person claiming through him shall, by reason only of the registration, be, in respect of that land, a trustee for the purposes of this Act.
(d) A personal representative in the capacity of personal representative shall not, by reason only of section 1 of the Executors Act, 1830, or section 86 of the Act of 1891, be a trustee for the purposes of this Act.
(3) For the purposes of this Act, a cause of action to recover, in respect of the liability of a tortfeasor to an injured person, an amount recoverable by the tortfeasor under section 4 or 5 of the Tortfeasors Act, 1951 (No. 1 of 1951), shall be deemed to accrue on the date on which judgment was obtained by the injured person against the tortfeasor.
Application of Act to charges for principal sums on registered land.
(4) In the application of this Act to registered land in respect of which a charge for the payment of a principal sum has been created under section 40 of the Act of 1891—
(a) references to a mortgagor shall be construed as references to the registered owner who charged the land,
(b) references to a mortgagee shall be construed as references to the registered owner of the charge,
(c) references to a mortgage shall be construed as references to the instrument of charge,
and cognate words shall be construed accordingly.
PART II.
Periods of Limitation for Different Classes of Action.
Part II to be subject to provisions of Part III relating to disability, acknowledgment, part payment, fraud and mistake.
10.—The subsequent provisions of this Part of this Act shall have effect subject to the provisions of Part III of this Act which provide for the extension of the periods of limitation in the case of disability, acknowledgment, part payment, fraud and mistake.
Actions of contract and tort and certain other actions.
Limitation of actions of contract and tort and certain other actions.
11.—(1) The following actions shall not be brought after the expiration of six years from the date on which the cause of action accrued—
(a) actions founded on simple contract;
(b) actions founded on quasi-contract;
(c) actions to enforce a recognizance;
(d) actions to enforce an award, where the arbitration agreement is not under seal or where the arbitration is under any Act other than the Arbitration Act, 1954 (No. 26 of 1954);
(e) actions to recover any sum recoverable by virtue of any enactment, other than—
(i) a penalty or forfeiture or sum by way of penalty or forfeiture, or
(ii) a debt created by subsection (2) of section 14 or section 125 of the Companies (Consolidation) Act, 1908 , or
(iii) an amount recoverable by a tortfeasor under section 4 or 5 of the Tortfeasors Act, 1951 (No. 1 of 1951).
(2) (a) Subject to paragraphs (b) and (c) of this subsection, an action founded on tort shall not be brought after the expiration of six years from the date on which the cause of action accrued.
(b) An action claiming damages for negligence, nuisance or breach of duty (whether the duty exists by virtue of a contract or of a provision made by or under a statute or independently of any contract or any such provision), where the damages claimed by the plaintiff for the negligence, nuisance or breach of duty consist of or include damages in respect of personal injuries to any person, shall not be brought after the expiration of three years from the date on which the cause of action accrued.
(c) An action claiming damages for slander shall not be brought after the expiration of three years from the date on which the cause of action accrued.
(3) An action to recover, in respect of the liability of a tortfeasor to an injured person, an amount recoverable by the tortfeasor under section 4 or 5 of the Tortfeasors Act, 1951 (No. 1 of 1951), shall not be brought after the expiration of two years from the date on which the cause of action accrued.
(4) An action for an account shall not be brought in respect of any matter which arose more than six years before the commencement of the action.
(5) The following actions shall not be brought after the expiration of twelve years from the date on which the cause of action accrued:—
(a) an action upon an instrument under seal, other than an action upon an instrument under seal to recover—
(i) arrears of a rentcharge or of a conventional rent, or
(ii) any principal sum of money secured by a mortgage or other charge, or
(iii) arrears of interest in respect of any sum of money secured by a mortgage or other charge, or
(iv) arrears of an annuity charged on personal property;
(b) an action to enforce an award, where the arbitration agreement is under seal;
(c) an action to recover a debt created by subsection (2) of section 14 or section 125 of the Companies (Consolidation) Act, 1908 .
(6) (a) An action shall not be brought upon a judgment after the expiration of twelve years from the date on which the judgment became enforceable.
(b) No arrears of interest in respect of any judgment debt shall be recovered after the expiration of six years from the date on which the interest became due.
(7) (a) In this subsection “penalty” does not include a fine to which any person is liable on conviction of a criminal offence.
(b) An action to recover any penalty or forfeiture, or sum by way of penalty or forfeiture, recoverable by virtue of any enactment shall not be brought after the expiration of two years from the date on which the cause of action accrued.
(8) (a) Subsection (1) of this section shall apply to an action to recover seamen’s wages.
(b) Save as provided by paragraph (a) of this subsection, this section shall not apply to any cause of action within the Admiralty jurisdiction of the High Court which is enforceable in rem.
(9) (a) This section shall not apply to any claim for specific performance of a contract or for an injunction or for other equitable relief.
(b) Paragraph (a) of this subsection shall not be construed as preventing a Court from applying by analogy any provision of this section in like manner as the corresponding enactment repealed by this Act has heretofore been applied.
Limitation of actions to recover land.
13.—(1) (a) Subject to paragraphs (b) and (c) of this subsection, no action shall be brought by a State authority to recover any land after the expiration of thirty years from the date on which the right of action accrued to a State authority or, if it first accrued to some person through whom a State authority claims, to that person.
(b) An action to recover foreshore may be brought by a State authority at any time before the expiration of sixty years from the date on which the right of action accrued to a State authority.
(c) Where any right of action to recover land, which has ceased to be foreshore but remains in the ownership of the State, accrued when the land was foreshore, the action may be brought at any time before the expiration of sixty years from the date of the accrual of the right of action, or of forty years from the date on which the land ceased to be foreshore, whichever period first expires.
(2) The following provisions shall apply to an action by a person (other than a State authority) to recover land—
(a) subject to paragraph (b) of this subsection, no such action shall be brought after the expiration of twelve years from the date on which the right of action accrued to the person bringing it or, if it first accrued to some person through whom he claims, to that person;
(b) if the right of action first accrued to a State authority, the action may be brought at any time before the expiration of the period during which the action could have been brought by a State authority, or of twelve years from the date on which the right of action accrued to some person other than a State authority, whichever period first expires.
(3) For the purposes of this Act—
(a) where a right of action to recover any land accrued to the Crown before the 6th day of December, 1922, the right of action shall be deemed to have accrued to a State authority on the date on which the right of action first accrued to the Crown;
(b) where a right of action to recover any land accrued to Saorstát Éireann before the 29th day of December, 1937, the right of action shall be deemed to have accrued to a State authority on the date on which the right of action first accrued to Saorstát Éireann;
(c) where a right of action to recover any land accrued to the State before the operative date, the right of action shall be deemed to have accrued to a State authority on the date on which the right of action first accrued to the State.
Limitation of redemption actions (land).
34.—(1) (a) Where a mortgagee of land has been in possession of any of the mortgaged land for a period of twelve years, no action to redeem the land of which the mortgagee has been so in possession shall thereafter be brought by the mortgagor or any person claiming through him.
(b) Paragraph (a) of this subsection does not apply in respect of a Welsh mortgage.
(2) Where a mortgagee of land under a Welsh mortgage which provides that the rents and profits are to be applied in reduction of the principal moneys and interest has been in possession of the land for a period of twelve years commencing on the date on which all the principal moneys and interest have been satisfied, no action to redeem the land shall thereafter be brought by the mortgagor or any person claiming through him.
Extinction of title of mortgagor to mortgaged land after expiration of period for action to redeem land.
35.—Subject to section 52 of the Act of 1891, at the expiration of the period fixed by this Act for a mortgagor to bring an action to redeem land subject to a mortgage, the title of the mortgagor to the land shall be extinguished.
Limitation of actions to recover principal money secured by a charge on land or personal property.
36.—(1) (a) No action shall be brought to recover any principal sum of money secured by a mortgage or charge on land or personal property (other than a ship) after the expiration of twelve years from the date when the right to receive the money accrued.
(b) In its application to—
(i) a mortgage, interest on which is payable into the Church Temporalities Fund, or
(ii) a charge on land under section 31 of the Land Law (Ireland) Act, 1881 , or
(iii) a charge on land under the Housing (Gaeltacht) Acts, 1929 and 1934,
paragraph (a) of this subsection shall have effect as if for the words “twelve years” there were substituted “thirty years”.
(2) The right to receive any principal sum of money secured by a mortgage or other charge shall, for the purposes of this section, be deemed not to accrue so long as the property subject to the mortgage or charge comprises any future interest or any life insurance policy which has not matured or been determined.
Limitation of actions to recover arrears of interest on a mortgage or charge.
37.—(1) No action shall be brought to recover arrears of interest payable in respect of any principal sum of money secured by a mortgage or charge on land or personal property (other than a ship) or to recover damages in respect of such arrears after the expiration of six years from the date on which the interest became due.
(2) Where—
(a) a prior mortgagee or other incumbrancer has been in possession of the property charged, and
(b) an action is brought within one year of the discontinuance of such possession by a subsequent incumbrancer,
he may recover by that action all the arrears of interest which fell due during the period of possession by the prior incumbrancer or damages in respect thereof, notwithstanding that the period exceeded six years.
(3) Where—
(a) the property subject to a mortgage or charge comprises any future interest or life insurance policy, and
(b) it is a term of the mortgage or charge that arrears of interest shall be treated as part of the principal sum secured by the mortgage or charge,
interest shall not be deemed to become due before the right to receive the principal sum of money has accrued or is deemed to have accrued.
Extinction of right of mortgagee or chargeant to mortgage debt at expiration of period for action to recover land or claiming sale of land.
38.—At the expiration of the period fixed by this Act for a mortgagee of land to bring an action to recover the land or for a person claiming as mortgagee or chargeant to bring an action claiming sale of the land, the right of the mortgagee or such person to the principal sum and interest secured by the mortgage or charge shall be extinguished.
Extinction of right of mortgage or chargeant to principal sum secured by mortgage
or charge on personal property after expiration of period for action to recover principal sum.
39.—At the expiration of the period fixed by this Act for a mortgagee or chargeant to bring an action to recover a principal sum of money secured by a mortgage or charge on personal property (other than a ship), the right of the mortgagee or chargeant to the principal sum and interest shall be extinguished.
Chapter III.
Acknowledgment.
Meaning of “acknowledgment”.
50.—In this Chapter, “acknowledgment” means an acknowledgment, under section 51 , 52 , 53 , 54 , 55 , 56 or 57 of this Act, made in accordance with section 58 of this Act.
Fresh accrual of right of action on acknowledgment (action to recover land).
51.—(1) Where—
(a) there has accrued to any person (other than a mortgagee) any right of action to recover land, and
(b) the person in possession of the land acknowledges the title of the person to whom the right of action has accrued,
the right of action shall be deemed to have accrued on and not before the date of the acknowledgment.
(2) Subsection (1) of this section shall apply to a right of action accrued to a person entitled to an estate or interest taking effect on the determination of an estate tail against whom time is running under section 19 of this Act, and on the making of the acknowledgment that section shall cease to apply to the land.
Fresh accrual of right of action on acknowledgment (action by mortgagee to recover land).
52.—Where—
(a) the right of a mortgagee of land to bring an action to recover the land has accrued, and
(b) either—
(i) the person in possession of the land acknowledges the mortgagee’s title to the land, or
(ii) the person in possession of the land or the person liable for the mortgage debt acknowledges the debt,
the right of action shall be deemed to have accrued on and not before the date of the acknowledgment.
Fresh accrual of right of action on acknowledgment (action by incumbrancer claiming sale of land).
53.—Where—
(a) the right of an incumbrancer of land to bring an action claiming sale of the land has accrued, and
(b) the person in possession of the land or the person liable for the debt secured by the incumbrance acknowledges the debt,
the right of action shall be deemed to have accrued on and not before the date of the acknowledgment.
Effect of acknowledgment on right of action to redeem mortgaged land in mortgagee’s possession.
54.—Where—
(a) a mortgagee is by virtue of the mortgage in possession of any mortgaged land, and
(b) the mortgagee acknowledges the title of the mortgagor or his equity of redemption,
an action to redeem the land in the mortgagee’s possession may be brought at any time before the expiration of twelve years from the date of the acknowledgment.
Fresh accrual of right of action on acknowledgment (action in respect of personal right in or over land, such as right of support, etc.).
55.—Where—
(a) there has accrued a right of action in respect of a right in the nature of a lien for money’s worth in or over land for a limited period not exceeding life, such as a right of support or a right of residence, not being an exclusive right of residence in or on a specified part of the land, and
(b) the person in possession of the land acknowledges the right hereinbefore secondly mentioned,
the right of action shall be deemed to have accrued on and not before the date of the acknowledgment.
Fresh accrual of right of action on acknowledgment (action to recover debt).
56.—(1) Where—
(a) any right of action has accrued to recover any debt, and
(b) the person liable therefor acknowledges the debt,
the right of action shall be deemed to have accrued on and not before the date of the acknowledgment.
(2) Where—
(a) the right of action of a mortgagee of land to recover the mortgage debt has accrued, and
(b) the person in possession of the land acknowledges the mortgagee’s title to the land,
the right of action shall be deemed to have accrued on and not before the date of the acknowledgment.
Formal provisions as to acknowledgment.
58.—(1) Every acknowledgment shall be in writing and signed by the person making the acknowledgment.
(2) An acknowledgment under section 51 , 52 , 53 , 54 , 55 , 56 or 57 of this Act—
(a) may be made by the agent of the person by whom it is required to be made under whichever of those sections is applicable, and
(b) shall be made to the person or the agent of the person whose title, right, equity of redemption or claim (as the case may be) is being acknowledged.
Effect of acknowledgment on persons other than the maker or recipient.
59.—(1) An acknowledgment of title to any land by any person in possession thereof shall bind all other persons in possession during the ensuing period of limitation.
(2) Where—
(a) two or more mortgagees of land are by virtue of the mortgage in possession of the land, and
(b) one only of the mortgagees (in this subsection referred to as the acknowledgor) gives an acknowledgment of the mortgagor’s title or of his equity of redemption,
the following provisions shall have effect—
(i) the acknowledgment shall bind only the acknowledgor and his successors and shall not bind any other mortgagee or his successors;
(ii) if the acknowledgor is entitled to a part of the mortgaged land and not to any ascertained part of the mortgage debt, the mortgagor shall be entitled to redeem that part of the land on payment, with interest, of the part of the mortgage debt which bears the same proportion to the whole of the debt as the value of that part of the land bears to the value of the whole of the mortgaged land.
(3) Where there are two or more mortgagors of land, and the title or right to redemption of one of the mortgagors is acknowledged, the acknowledgment shall be deemed to have been made to all the mortgagors.
(4) (a) An acknowledgment of a debt shall bind the acknowledgor and his successors but not any other person.
(b) An acknowledgment of a statute-barred debt shall not bind any successor of the acknowledgor on whom the liability devolves on the determination of a preceding estate or interest in property under a settlement taking effect before the date of the acknowledgment.
(5) An acknowledgment by one of several personal representatives of any claim to the personal estate of a deceased person or to any share or interest therein shall bind the estate of the deceased person.
Exemption of acknowledgment from stamp duty.
60.—No acknowledgment shall be deemed to be an agreement within the meaning of the Stamp Act, 1891.
Chapter IV.
Part payment.
Meaning of “payment”.
61.—In this Chapter, “payment” means a payment made, under section 62 , 63 , 64 , 65 or 66 of this Act, in accordance with section 67 of this Act.
Fresh accrual of right of action on payment (action by mortgagee to recover land).
62.—Where—
(a) the right of a mortgagee of land to bring an action to recover the land has accrued, and
(b) the person in possession of the land or the person liable for the mortgage debt makes any payment in respect thereof, whether of principal or interest,
the right of action shall be deemed to have accrued on and not before the date of the payment.
Fresh accrual of right of action on payment (action by incumbrancer claiming sale of land).
63.—Where—
(a) the right of an incumbrancer of land to bring an action claiming sale of the land has accrued, and
(b) the person in possession of the land or the person liable for the debt secured by the incumbrance makes any payment in respect thereof, whether of principal or interest,
the right of action shall be deemed to have accrued on and not before the date of the payment.
Effect of payment on right of action to redeem mortgaged land in mortgagee’s possession.
64.—Where—
(a) a mortgagee is by virtue of the mortgage in possession of any mortgaged land, and
(b) the mortgagee receives any payment from the mortgagor in respect of the principal or interest of the mortgage debt,
an action to redeem the land in the mortgagee’s possession may be brought at any time before the expiration of twelve years from the date of the payment.
Fresh accrual of right of action on payment (action to recover debt).
65.—(1) Where—
(a) any right of action has accrued to recover any debt, and
(b) the person liable therefor makes any payment in respect thereof,
the right of action shall be deemed to have accrued on and not before the date of the payment.
(2) Payment of interest in whole or in part shall for the purposes of this Chapter be treated as a payment in respect of the principal debt.
Fresh accrual of right of action on payment (action claiming personal estate of deceased person).
66.—Where—
(a) any right of action has accrued to recover any claim to the personal estate of a deceased person or to any share or interest therein, and
(b) the person accountable therefor makes any payment in respect thereof,
the right of action shall be deemed to have accrued on and not before the date of the payment.
Formal provisions as to payment.
67.—A payment under section 62 , 63 , 64 , 65 or 66 of this Act—
(a) may be made by the agent of the person by whom it is required to be made under whichever of those sections is applicable,
(b) shall be made to the person or the agent of the person in respect of whose claim the payment is being made.
Effect of payment on persons other than the maker or recipient.
68.—(1) A payment in respect of a mortgage debt by the mortgagor or any person in possession of the mortgaged property shall, so far as any right of the mortgagee to recover the property is concerned, bind all persons in possession of the mortgaged property during the ensuing period of limitation.
(2) Where—
(a) two or more mortgagees of land are by virtue of the mortgage in possession of the land, and
(b) one only of the mortgagees (in this subsection referred to as the recipient) receives any payment in respect of the principal or interest of the mortgage debt,
the following provisions shall have effect:—
(i) the payment shall bind only the recipient and his successors and shall not bind any other mortgagee or his successors;
(ii) if the recipient is entitled to a part of the mortgaged land and not to any ascertained part of the mortgaged debt, the mortgagor shall be entitled to redeem that part of the land on payment, with interest, of the part of the mortgage debt which, immediately before the recipient received the payment, referred to in paragraph (b) of this subsection, bore the same proportion to the whole of the debt as the value of that part of the land bears to the value of the whole of the land, less the amount of the payment.
(3) Where there are two or more mortgagors of land, and the mortgagee, being in possession of the land, is paid any sum in respect of the principal or interest of the mortgage debt by one of the mortgagors, the payment shall be deemed to have been made by all the mortgagors.
(4) (a) A payment made in respect of any debt shall, subject to paragraph (b) of this subsection, bind all persons liable in respect thereof.
(b) A payment in respect of a statute-barred debt shall not bind—
(i) any person other than the person making the payment and his successors, or
(ii) any successor on whom the liability devolves on the determination of a preceding estate or interest in property under a settlement taking effect before the date of payment.
(5) A payment by one of several personal representatives in respect of any claim to the personal estate of a deceased person shall bind the estate of the deceased person.
Appropriation of payment in respect of debts.
69.—(1) Where—
(a) there exists a number of debts, and
(b) the person liable therefor (in this section referred to as the debtor) makes any payment, whether on account or generally, to the person to whom he is liable (in this section referred to as the creditor), and
(c) neither the debtor nor the creditor appropriates the sum paid to any particular debt or debts,
the following provisions shall have effect:—
(i) if some of or all the debts are not statute-barred debts, the payment shall, for the purposes of this Chapter, unless the circumstances in which it was made indicate otherwise, be deemed to be appropriated pari passu in respect of each of the debts which are not statute-barred debts;
(ii) if all the debts are statute-barred debts, the payment shall, for the purposes of this Chapter, unless the circumstances in which it was made indicate otherwise, be deemed to be appropriated pari passu in respect of each of the debts.
(2) Nothing in subsection (1) of this section shall, where the debtor does not appropriate, operate to prevent the creditor from appropriating a payment made on account or generally to a particular debt or to particular debts or to all the debts (whether statute-barred debts or not), but such appropriation shall not by reason only of its being made by the creditor operate to make the payment a payment for the purposes of this Chapter in respect of such debt or debts, unless the circumstances in which the payment was made by the debtor so indicate.
(3) Where, under section 16 of the Land Law (Ireland) Act, 1896 , a tenant against whom an ejectment has been brought pays two years’ rent, the payment shall, for the purposes of this Chapter, unless the circumstances in which it was made indicate otherwise, be deemed to be a payment in respect of all arrears which, at the date of the commencement of the proceedings in the ejectment, are not statute-barred debts.
Endorsement of payment by creditor not to be evidence of payment.
70.—No endorsement or memorandum of any payment written upon any bill of exchange or promissory note by or on behalf of the party to whom such payment is made shall be deemed to be evidence of such payment for the purposes of this Chapter.
Chapter V.
Fraud and mistake.
Postponement of limitation period in case of fraud.
71.—(1) Where, in the case of an action for which a period of limitation is fixed by this Act, either—
(a) the action is based on the fraud of the defendant or his agent or of any person through whom he claims or his agent, or
(b) the right of action is concealed by the fraud of any such person,
the period of limitation shall not begin to run until the plaintiff has discovered the fraud or could with reasonable diligence have discovered it.
(2) Nothing in subsection (1) of this section shall enable an action to be brought to recover, or enforce any charge against, or set aside any transaction affecting, any property which has been purchased for valuable consideration by a person who was not a party to the fraud and did not at the time of the purchase know or have reason to believe that any fraud had been committed.
Postponement of limitation period in case of mistake.
72.—(1) Where, in the case of any action for which a period of limitation is fixed by this Act, the action is for relief from the consequences of mistake, the period of limitation shall not begin to run until the plaintiff has discovered the mistake or could with reasonable diligence have discovered it.
(2) Nothing in subsection (1) of this section shall enable any action to be brought to recover, or enforce any charge against, or set aside any transaction affecting, any property which has been purchased for valuable consideration, subsequently to the transaction in which the mistake was made, by a person who did not know or have reason to believe that the mistake was made.
PART IV.
Application of this Act and other Limitation Enactments to Arbitrations.