Jim Stafford
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Some professional advisors are falling into a trap believing that any debt that has not been paid or acknowledged for a period of 6 years is statute barred. However, this is is not always the case, as the judgment below shows.
As the judgment states: "Even if a facility letter is silent in relation to the credit facility being repayable on demand, the court is satisfied that in general credit facilities which are in the nature of an overdraft facility, are repayable on demand."
When assessing issues of Statute of Limitations, it is necessary to understand from what date the debt becomes "due". In the case of an overdraft, the "due" date is the date of Demand.
Jim Stafford
As the judgment states: "Even if a facility letter is silent in relation to the credit facility being repayable on demand, the court is satisfied that in general credit facilities which are in the nature of an overdraft facility, are repayable on demand."
When assessing issues of Statute of Limitations, it is necessary to understand from what date the debt becomes "due". In the case of an overdraft, the "due" date is the date of Demand.
pdf
courts.ie • 33 min read
THE HIGH COURT [2021] IEHC 311 [Record No. 2017/696 S.] BETWEEN ALLIED IRISH BANKS PLC
https://www.courts.ie/acc/alfresco/...-4d231bcafef7/2021_IEHC_311.pdf/pdf#view=fitHJim Stafford