Limitation Act 1980 + Latent Damage Act 1986

Simple Contract: Six Years

Limitation Act 1980 s.5

Section 5 provides that an action founded on simple contract must be brought within six years from the date on which the cause of action accrued. The cause of action in contract accrues on the date of breach, not on the date the claimant suffers damage. For an architect appointed under a simple (under hand) RIBA PSC 2020, this means a defective design dated 2018 generally falls outside the limitation period in 2024, even if the resulting damage is only discovered in 2025.

Specialty / Deed: Twelve Years

Limitation Act 1980 s.8

Section 8 provides that an action on a specialty (a contract executed as a deed) must be brought within twelve years. A deed must be signed, witnessed, and expressed to be a deed. Most commercial architect appointments are executed as deeds at the client's insistence, doubling the architect's contractual exposure compared with a simple contract appointment.

When the Clock Starts

Limitation Act 1980 ss.5 and 8; case law

In both simple contract and deed cases, the cause of action accrues on the date of breach. For a design defect, this is generally the date the defective design is issued or relied upon. For a contract administration failure, it is the date of the negligent certificate or instruction. The fact that loss is only suffered later does not delay the running of time in contract.

General Tort: Six Years from Damage

Limitation Act 1980 s.2

Section 2 provides a six year limitation period for actions founded on tort. The cause of action in tort (including the tort of negligence) accrues when actionable damage is suffered, not when the negligent act occurs. For a defective foundation that causes cracking three years after construction, the tort clock starts at the date of cracking, not at the date of design or construction.

Latent Damage: Three Years from Knowledge

Limitation Act 1980 s.14A (inserted by Latent Damage Act 1986)

Section 14A applies where the damage was not reasonably discoverable at the time it occurred. The claimant has three years from the date of knowledge: the date on which they first knew (or ought reasonably to have known) the material facts about the damage and the identity of the defendant. The s.14A period is in addition to the general six year period in s.2; the claimant gets whichever expires later.

Fifteen Year Longstop

Limitation Act 1980 s.14B (inserted by Latent Damage Act 1986)

Section 14B imposes an absolute longstop of fifteen years from the date of the negligent act or omission, regardless of date of knowledge. After fifteen years from the negligent design or act, no tortious claim can be brought, even if the damage and knowledge arise later. The longstop runs from the act, not the damage, so it can extinguish a claim that has not yet accrued.

Concurrent Liability

Henderson v Merrett Syndicates [1995] 2 AC 145

Architects typically owe duties both in contract (under the appointment) and in tort (a co-extensive duty of care to the client). A claimant may sue on whichever cause of action gives the longer limitation window. This means the s.14A latent damage rule effectively extends an architect's exposure beyond the six or twelve year contractual period for as long as the fifteen year longstop has not expired.

Section 135 BSA 2022: New s.4B Inserted

Building Safety Act 2022 s.135; Limitation Act 1980 s.4B

Section 135 of the Building Safety Act 2022 came into force on 28 June 2022 and inserted a new section 4B into the Limitation Act 1980. Section 4B sets bespoke limitation periods for claims under the Defective Premises Act 1972. For DPA s.1 claims that accrued before 28 June 2022 (the commencement date), the limitation period is now thirty years from the date the cause of action accrued. For DPA s.1 claims that accrue on or after 28 June 2022, the limitation period is fifteen years.

DPA 1972 s.1: The Underlying Duty

Defective Premises Act 1972 s.1 (as amended by BSA 2022 s.134)

DPA 1972 s.1 imposes a duty on anyone taking on work in connection with the provision of a dwelling to see that the work is done in a workmanlike (or professional) manner, with proper materials, so that the dwelling will be fit for habitation when completed. The duty is owed to every person who acquires an interest in the dwelling. BSA 2022 s.134 extended the duty to refurbishment works as well as new build dwellings.

Retrospective Effect and Article 1 Protocol 1

URS Corporation v BDW Trading Ltd [2025] UKSC 21

The retrospective thirty year period was challenged on the basis that it interfered with developers' and consultants' Article 1 Protocol 1 ECHR property rights. In URS v BDW the Supreme Court confirmed in May 2025 that the retrospective extension was a proportionate response to the post-Grenfell building safety crisis and was compatible with Convention rights. The decision also confirmed that contribution claims between former co-defendants can be brought even where the underlying primary claim was settled before the extended period came into force.

Personal Injury: Three Years

Limitation Act 1980 s.11

Section 11 imposes a three year limitation period for actions for damages in respect of personal injuries (including death), running from the date of the cause of action or the date of knowledge, whichever is later. This is shorter than the general tort period and is relevant where a defective design causes injury, for example a stair collapse or fire safety failure.

Court Discretion to Disapply

Limitation Act 1980 s.33

Section 33 gives the court a discretion to disapply the three year personal injury limitation period where it would be equitable to do so, having regard to the prejudice to the claimant of refusing to extend time and the prejudice to the defendant of doing so. The discretion is broad but rarely exercised in favour of claimants who have delayed without good reason.

Acknowledgement and Part Payment

Limitation Act 1980 ss.29 to 31

Sections 29 to 31 provide that where a defendant acknowledges a debt or claim in writing, or makes a part payment, the limitation period restarts from the date of acknowledgement or payment. This applies to liquidated debts. It does not apply to claims for unliquidated damages (such as professional negligence claims for design defects), so an architect's apology or admission does not restart the clock on a tort claim.

PII Run-Off Periods

ARB Code 2025 Standard 7; RIBA PSC 2020 clause 8

PII must be maintained for the duration of the limitation period applicable to each appointment. For simple contract appointments this is six years from completion; for deeds it is twelve years; for any work potentially within DPA 1972 it is up to thirty years for pre-June 2022 accruals. On retirement or practice closure, run-off cover (typically six years for simple contracts, twelve for deeds) is essential. The ARB Code 2025 Standard 7 requires PII appropriate to the work undertaken, including run-off.

Residual Exposure After Termination

RIBA PSC 2020 clause 7; Limitation Act 1980

Termination of an appointment does not end the architect's exposure. The limitation clock continues to run from the date of breach (contract) or damage (tort), not from the date of termination. An architect who terminates a 2020 appointment in 2022 due to non-payment remains exposed to contract claims until 2026 (simple contract) or 2032 (deed), and to tort claims under the latent damage rules until the s.14B longstop expires.

Interaction with Net Contribution Clauses

RIBA PSC 2020 clause 8.6; Civil Liability (Contribution) Act 1978

A net contribution clause limits the architect's liability to their fair share of the loss, taking into account other defendants who would, if joined, have been liable to contribute. Without it, the architect can be liable for 100 per cent of the loss under joint and several liability rules, including for the share of insolvent co-defendants. The combination of long limitation periods and joint and several liability is what makes net contribution clauses so important in the architect's contractual armoury.