A Comprehensive Guide to Prescription Laws in South Africa

Prescription laws in South Africa play a crucial role in determining the time limits for pursuing legal claims. These laws outline the maximum period within which a person can bring a claim against another party. If this period is exceeded, the claim will become time-barred and the person will no longer be able to pursue it. In this article, we will provide a comprehensive guide to prescription laws in South Africa, including the time limits for pursuing legal claims and the exceptions to these time limits.

What is Legal Prescription?

Prescription is a legal concept that refers to a situation where the law provides that due to the passage of time, a debtor is no longer legally obliged to pay off an old debt.

In South Africa, prescription laws are governed by the Prescription Act 68 of 1969. According to this act, the time limit for pursuing a legal claim depends on the type of claim and the circumstances surrounding it.

Time Limits for Pursuing Legal Claims

The Prescription Act sets out different time limits for different types of legal claims. The most common types of claims and their time limits are as follows:

• the prescription period for debts secured by mortgage bonds, judgment debts, etc. is 30 years;

• the prescription period for certain debts owed to the State is 15 years;

• the prescription period for debts arising from a bill of exchange, notarial contract, etc. is 6 years; and

• the prescription period for other debts "save where an Act of Parliament provides otherwise" is 3 years.

In practice, the most common form of prescription that we deal with is where a 3 year prescription period applies.

• Contractual claims - Three years from the date that the debt became due and payable.

• Delictual claims - Three years from the date that the cause of action arose.

• Claims for damages arising from personal injury - Three years from the date that the injury occurred or the date on which the claimant became aware of the injury.

• Claims for damages arising from defective goods - Three years from the date that the goods were delivered to the claimant.

When does Prescription Start Running?

Prescription commences to run as soon as a debt becomes due, except if the debtor willfully prevents knowledge of existence of the debt, or the creditor has no knowledge and could not acquire knowledge by exercising reasonable care.

Prescription periods may, in certain circumstances, be delayed or interrupted.

Exceptions to Time Limits

There are some exceptions to the time limits for pursuing legal claims. These exceptions are known as "interruptions" and "suspensions". An interruption occurs when the debtor acknowledges the debt in writing, and a suspension occurs when the creditor is prevented from pursuing the claim due to circumstances beyond their control.

Consequences of a Debt Prescribing

Once a debt has prescribed (i.e. the designated time period has elasped), the person who is indebted (“debtor”) to another person (“creditor”) will not be liable to pay such debt and this means that the creditor may not institute legal action against the debtor for such a debt.

Conclusion

Prescription laws in South Africa are an important aspect of the legal system. They play a crucial role in determining the time limits for pursuing legal claims and protecting the interests of both debtors and creditors. As such, it is important to understand these laws and how they apply to your particular circumstances. By being aware of the time limits for pursuing legal claims and the exceptions to these time limits, you can ensure that your rights are protected and that you have the best chance of obtaining a favorable outcome in any legal proceedings.

If you need assistance with a litigation matter or dispute, contact our offices today to schedule a consultation with one of our specialist litigation attorneys.