I am not sure this Limitation Act is a clear as often thought. For instance,
“Under the Limitations Act 1980 the time limits are
in simple contracts, 6 years
in contracts under seal, 12 years.
If the debtor acknowledges the debt in writing or makes a part payment within the original limitation period, then the time limits start to run again from the date of acknowledgement or the date of payment”.
Does this “part-payment” include a deduction from on-going benefit and thus extend the time limit? There is no limit whatsoever from getting old ebts back by deductions from new benefits.
There are all sorts of issues here and I suspect that a lot of debt that is written off is still recoverable? Any views or suggestions on this? What about the boom in IVA’s for instance?